HomeMy WebLinkAbout2024-02-15 HRA Regular Meeting PacketAg enda
E dina H ousing and R edevelopm ent Author ity
City of E dina, Minnesota
City Council Chambers
Thursday, February 15, 2024
7:30 AM
Watch the m eeting on cable TV or at EdinaMN.gov/LiveMeeting s or
Facebook.com /EdinaMN.
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I.Call to Ord er
II.Roll Call
III.Pledge of Allegia n ce
IV.Ap p roval of Meetin g Agen d a
V.Com m unity Com m en t
Du ring "Com m unity Com m en t," th e Edin a Housing and Redevelop m ent
Au thority (HRA) will in vite resid ents to sh are new issues or con cern s tha t
h aven't been con sid ered in th e p ast 30 da y s b y th e HRA or w h ich a ren't
slated for fu ture consideration . Individ u als m u st lim it their com m ents to
three m inutes. Th e Ch air m a y lim it the num ber of sp ea kers on th e sa m e
issue in th e interest of tim e a n d topic. Gen era lly sp ea king, item s tha t are
elsewhere on tod ay's a genda m a y not b e addressed d u ring Com m unity
Com m en t. In d ividua ls sh ould not expect th e Ch air or Com m issioners to
resp ond to th eir com m en ts toda y . Instead the Com m issioners m ight refer the
m atter to sta. for consideration a t a fu ture m eeting.
VI.Ad option of Con sen t Agenda
All a genda item s listed on the consent a genda a re con sid ered rou tin e and
will be en acted by one m otion. There will be no sepa rate d iscussion of such
item s unless requested to be rem oved from the Con sen t Agenda by a
Com m ission er of the HRA. In su ch ca ses the item w ill b e rem oved from th e
Consent Agen d a and con sid ered im m ediately follow ing the a d option of th e
Consent Agen d a. (Fa vorable rollcall vote of m a jority of Com m issioners
p resent to approve.)
A.E d ina Hou sin g Fou n d ation Appointm ents
B.Appointm ent of th e Executive Director of the HRA
C.Req u est for Purch ase: Profession al Services for France Ave Pedestria n
Crossing
D.Dra ft Min u tes of Regular Meeting on Ja n u ary 11, 2024
VII.Reports/Recom m enda tions: (Favora b le vote of m ajority of Com m ission ers
p resent to approve excep t where n oted)
A.First Am en d m ent to Redevelop m ent Agreem en t for 4620 W est 77th Street
B.A.orda b le Hou sin g Discu ssion s
VIII.Executive Director's Com m ents
A.2023 Year in Review
IX.HRA Com m issioners' Com m en ts
X.Ad jou rn m ent
Th e E d ina Housing a n d Redevelop m ent Au thority wa n ts all pa rticip ants to be
com fortable b ein g pa rt of th e p u b lic p rocess. If y ou n ee d a ssista n ce in the w a y of
h ea ring am pli?ca tion, a n in terp reter, large-p rint docum en ts or som ethin g else,
p lease ca ll 952-927-8861 72 hou rs in advance of the m eeting.
Date: F ebruary 15, 2024 Agenda Item #: VI.A.
To:C hair & C ommis s ioners of the Edina HR A Item Type:
R eport / R ecommendation
F rom:S tephanie Hawkinson, Affordable Housing
Development Manager Item Activity:
Subject:Edina Housing F oundation Appointments Ac tion
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P MENT
AUT HO R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED:
Appoint Bernadette H ornig, Mary Kay M cN ee, and Ann Swenson to the Edina H ousing F oundation with a term
ending 3/1/25.
I N TR O D U C TI O N:
T he E dina Housing Foundation consists of five members. P er the Foundations by-laws, members shall be
appointed each year. Two members are appointed by City Council and three are appointed by H R A. T he H R A is
being asked to appoint B ernadette Hornig, M ary K ay McNee, and Ann S wenson.
Date: F ebruary 15, 2024 Agenda Item #: VI.B.
To:C hair & C ommis s ioners of the Edina HR A Item Type:
R eport / R ecommendation
F rom:S cott H. Neal, C ity Manager
Item Activity:
Subject:Appointment of the Executive Direc tor of the HR A Ac tion
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P MENT
AUT HO R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED:
M otion to appoint City Manager S cott N eal as Executive Director of the H R A.
I N TR O D U C TI O N:
T he City Council previously designated me as Executive Director of the H R A. I request the C ouncil affirm this
designation with the requested motion. T he proposed term of this appointment will be concurrent with my
employment as C ity M anager.
Date: F ebruary 15, 2024 Agenda Item #: VI.C .
To:C hair & C ommis s ioners of the Edina HR A Item Type:
R eport / R ec ommendation, R eques t F or
P urc hase
F rom:C had Millner, C ity Engineer and Bill Neuendorf,
Economic Development Manager Item Activity:
Subject:R equest for P urc hase: P rofes s ional S ervic es for
F ranc e Ave P edes trian C rossing
Action
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P MENT
AUT HO R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED:
Approve R equest for P urchase for P rofessional S ervices for F rance Ave P edestrian C rossing with L H B for
$80,000.
I N TR O D U C TI O N:
T he idea of connecting the promenade to a new west promenade has been guided by various design standards and
studies. An opportunity exists with potential development projects on each side of F rance Avenue between
Gallagher Drive and 72nd S treet to add a pedestrian crossing under F rance Avenue. T his could create a much
safer crossing of France Ave in that area. C urrently users need to cross many lanes of F rance Ave at a traffic
signal.
T his contract will narrow possible improvement options to a preferred one or few for future study. I t will identify
options that are feasible and meet engineering standards.
AT TAC HME N T S:
Description
Request for Purchase: Professional Services for France Ave Pedes trian Cros s ing
Letter Proposal
Request for Purchase
Requisition Number
1
CITY OF EDINA
4801 W 50th St., Edina, MN 55424
www.EdinaMN.gov | 952-927-8861 12400045
Department: Engineering
Buyer: Chad Millner
Date: 02/09/2024
Requisition Description: Professional Services for France Avenue Pedestrian Crossing
Vendor: LHB INC
Cost: $80,000.00
REPLACEMENT or NEW: NEW
PURCHASE SOURCE:SERVIC K - SERVICE CONTRACT
DESCRIPTION:
The idea of connecting the promenade to a new west promenade has been guided by various design standards
and studies. An opportunity exists with potential development projects on each side of France Avenue
between Gallagher Drive and 72nd Street to add a pedestrian crossing under France Avenue. This could
create a much safer crossing of France Ave in that area. Currently users need to cross many lanes of France
Ave at a traffic signal. Most possible improvements have been made to that type of crossing with the
installation of the Nine Mile Creek Regional Trail.
This contract narrow possible options to a preferred one or few for future study. It will identify options that
are feasible and meet engineering standards.
BUDGET IMPACT:
This professional services contract is funded from the Centennial Lakes TIF District.
2
COMMUNITY IMPACT:
France Avenue is a major barrier to safe and comfortable access to each side of France Avenue. An offstreet
connection would remove barriers for all users specifically users with mobility challenges.
ENVIRONMENTAL IMPACT: NA Service Contract
PERFORMANCE DRIVEN DESIGN / / / / / / / / / / / / / / / / / / / / / / / LHBCORP.COM
February 12, 2024
Chad Millner, PE, Director of Engineering
City of Edina
Engineering and Public Works Facility
7450 Metro Boulevard
Edina, MN 55439
PROPOSAL FOR PROFESSIONAL SERVICES
INITIATING THE WEST PROMENADE
LHB appreciates the opportunity to submit this proposal for the once-in-a-generation “Initiating the West
Promenade” feasibility and experience study.
Overview
The City of Edina, in collaboration with a private sector development team, established a pattern of interacting uses
at the south end of the Greater Southdale Area when it created Centennial Lakes. Building from the public spaces
of the park, the City created The Promenade, a park armature envisioned to someday reach to the Crosstown, and
perhaps further. When it adopted the Greater Southdale Area Plan, the City laid the foundation for a West
Promenade as an extended armature of Centennial Lakes that might reach to Rosland Park, and perhaps further.
Where Centennial Lakes and The Promenade function as integral public spaces forming connections among the
many uses and parts of the Southdale Area, the West Promenade is imagined adding depth to a boundary between
the more intensive uses of the Southdale Area and the predominantly single-family neighborhood to its west. In
fact, the West Promenade might be imagined as an ecotone—not the forest and not the field, but the place in
between, where the greatest opportunities for interaction happen, and in doing so, it offers the chance to link a
neighborhood and a regional trail more directly to the resources of Centennial Lakes and the whole of the Greater
Southdale Area.
Initiating the West Promenade is a unique opportunity. Where Centennial Lakes happened through a 100-acre
transaction, no prospect of similar scale exists. In fact, finding a parcel of even ten acres is a challenge. But at this
very time, parcels on each side of France Avenue are undergoing a transition in a way that allows for the City’s
West Promenade to begin moving toward reality. Quite simply, it’s an incremental but critical first step, with
supportive redevelopment occurring on opposite sides of France Avenue in what seems the most opportunistic
location along the entirety of the corridor.
The process described in this proposal aims to verify that opportunity—testing assumptions underlying initial
thoughts about a connection linking opposite sides of France Avenue, and then describing the experience offered
by that new connection. It’s a process that is both highly practical and highly conceptual, allowing the necessary
technical exercises to occur in a setting that continually pushes boundaries toward the best possible experience.
INITIATING THE WEST PROMENADE PAGE 2
CITY OF EDINA
The deliverable is a range of options, perhaps narrowed to a preferred direction. Whether a range or a singular
direction, the intention is to frame a solution that falls within accepted boundaries and to provide assurance that the
project can be developed and implemented. This is largely an internally focused exercise, with engagement directed
to entities that have jurisdiction over the project and the adjacent development interests. At this point in a project
development sequence, the work should be considered both iterative and comparative—that any solutions posed
will have been cycled through several disciplines and that any potential direction can be examined in contrast to
others through some readily understood set of metrics.
The work focuses on feasibility, using an engineering focused evaluation of the assumptions underlying the cross
France Avenue connection, and experience, demonstrating the passage under and over the connection can be
made safe, attractive, and compelling for pedestrians and bicyclists. The engineering rigor of an intensive and
iterative process combined with a sense of how the connection functions for people offers great insights about how
an eventual project aligns with valued community assets like Centennial Lakes Park and the Promenade.
Geography of the work is important to note at this point: the team assumes the project will extend from The
Promenade north of Centennial Lakes and aligned with the easterly extension of the Three Rivers Regional Trail,
under France Avenue and through two redevelopment sites, landing along an alignment anticipated as the West
Promenade in the Greater Southdale Area Plan. The study area will include the stormwater “park” space at the west
side of the 7200 France Avenue parcel (Diagram 1).
Diagram 1
The black outline is the overall study area. The red outline is the limit to France Avenue re-design.
INITIATING THE WEST PROMENADE PAGE 3
CITY OF EDINA
Scope: Feasibility and Experience
As a prelude to this proposal, the City explored a range of possible means of establishing a connection across
France Avenue. While that exercise might be viewed as aspirational, it did not deeply explore feasibility. Now, with
a more refined direction to pursue, it makes sense that a more rigorous review of feasibility occurs.
While Centennial Lakes and The Promenade certainly have their technical underpinnings, it’s not the technical side
that makes them attractive as public spaces. They work—the team will establish the same for this project,
encouraging a design that builds upon the experience of Centennial Lakes and The Promenade—and one
espoused the in the Greater Southdale Area’s Design Experience Guidelines.
This stage of the work begins with “what is possible” and starts to describe “what will be experienced.” It’s not a
final design but rather it is a tool that the City can employ to assure stakeholders the project can be realized. And
importantly, it includes points of both feasibility (F) and experience (E).
E.01 Articulate the project basis (need, scope, and intent). Certainly, the connective opportunities are
apparent but other aspects may deserve attention to make certain the effort engages aspirations that might
lie beyond the immediately apparent boundaries of the project. This task will also consider, broadly, major
opportunities for separated crossings of France Avenue, demonstrating this site as key in the pedestrian
and bicyclist network as well as a narrative statement identifying the project basis.
F.01 Assemble project base mapping. Using existing mapping sources and data, the team will create a project
base map suitable for the feasibility study and experience diagrams. Where data is missing, the team will
work with the city to 1) understand the need to fill the gap and 2) determine the best methods of filling critical
data gaps.
E.02 Distill the experience of Centennial Lakes and The Promenade. As the underpass intends to build from
the experience of those valued Edina spaces, it’s worth demonstrating the fundamental design assumptions
evident in those spaces so that additions can be reasonably evaluated and a consistent and coherent
experience results. This doesn’t mean the patterns of Centennial Lakes or The Promenade will be copied;
rather, it means the beginnings of the design resonate with the original.
F.02 Gain information related to geotechnical conditions. Building a bridge over an underpass requires a
thorough understanding of the soils and water conditions in its general geography. The team will use
existing soil boring information from the adjacent development sites and previous work on France Avenue
to gain a general idea of soil conditions appropriate for this early feasibility work.
F.03 Incorporate public utilities. Working with public utility information provided by the City, the team will
incorporate public above and below grade utilities, a key feature in framing how bridge/underpass
structure(s) might be configured to limit impacts on those facilities.
E.03 Articulate initial bounds of feasibility. The team will meet to explore the range of investigations that
would be considered, recognizing that these investigations may reveal new possibilities. An initial list
demonstrating this range is included in scope F.04 through F.07. Our intent is to start with the most ideal
horizontal layout option, which will then be evaluated from a vertical layout, bridge/underpass type, and
stormwater scenario, moving to the next most ideal horizontal layout and so on if the first one(s) prove
infeasible. We believe this is the most efficient way to get to the best potential layout. Importantly, this
meeting should occur with involvement of City staff.
INITIATING THE WEST PROMENADE PAGE 4
CITY OF EDINA
F.04 Study horizontal layouts for France Avenue. As the favored direction anticipates “splitting” France
Avenue to allow light to reach an underpass, the team will study alignments for northbound and southbound
lanes meeting that need without compromising best practices for roadway design, recognizing that unique
contexts of France Avenue might be necessary as support. It’s important to recognize, from the outset, that
France Avenue does not follow a consistent and unvarying centerline. In fact, northbound and southbound
lanes move significantly east and west.
Iterations of some of the points of feasibility might initially include:
Horizontal alignment
a. Lane widths reduced and lanes shifted east and west to create the greatest practicable opening
between two France Avenue bridge/underpass structures.
b. Lanes shifted east and west to create an opening between two France Avenue
bridge/underpass structures;
c. Lane widths reduced to create a France Avenue bridge/underpass with the shortest practicable
undercrossing length;
d. No demonstrable change in lane alignments and the creation of a single France Avenue
Bridge/underpass;
F.05 Study vertical layouts for France Avenue. Because of the changing elevations of abutting development
and the desire to get new development properly positioned relative to France Avenue, the team will look at
the opportunity to adjust the profile of the road. Moving it upwards, especially, may demonstrate a better
relationship with adjacent development AND provide for an under passing trail to occur at somewhat lesser
grades.
Iterations of some of the points of feasibility might initially include:
Vertical alignment
a. France Avenue bridge(s)/underpass elevation raised with more gradual profile extending
northward to eliminate any “bump” in the profile.
b. France Avenue bridge(s)/underpass elevation raised to create more accommodating slopes for
undercrossing movements, with shortest practicable change to France Avenue profile;
c. France Avenue bridge(s)/underpass fit into existing road profile;
F.06 Study bridge/underpass design options. Based on loading requirements, the team will assess several
configurations for supportive bridge deck and columns. This isn’t the architectural design of the bridge but
rather the necessary exercise to understand the type and complexity of bridge structure that will be required
to allow an engaging underpass.
Iterations of some of the points of feasibility might initially include:
Bridge/underpass type
a. France Avenue bridge(s) designed to enhance the undercrossing experience;
b. France Avenue bridge(s) resulting in a substantial undercrossing space with no columns
between abutments;
INITIATING THE WEST PROMENADE PAGE 5
CITY OF EDINA
c. France Avenue bridge(s) created with the shortest practicable length allowing undercrossing
movements with no columns between abutments;
d. France Avenue bridge(s) resulting in a substantial undercrossing space with columns between
abutments;
e. France Avenue bridge(s) designed to the least expensive structure type with no regard for
undercrossing experience;
Diagram 2
An example of an early bridge type study showing underpass conditions
F.07 Understand the impacts of stormwater. The course of stormwater through this connection is an important
consideration and needs to be framed before any real design effort can be started. Conveyance is one
aspect of the study, but integration of stormwater with the eventual design might lead to a more sustainable
or innovative solution that addresses management of stormwater within the landscape of the connecting
features.
Iterations of some of the points of feasibility might initially include:
Stormwater
a. Stormwater treatment requirements will be evaluated to accommodate the preferred alternative.
b. Possible stormwater treatment concepts or ideas will be recommended to the City for further
evaluation.
F.08 Consider grades for the Promenade. Given that the new pedestrian and bicyclist infrastructure has touch
down points at each end of its corridor and a critical elevation to allow for a bridge to pass over it, with
dimensional thresholds for the passage of bicyclists and maintenance vehicles, the team will look at various
means of moving along the alignment, using ADA and PROWAG guidance to ensure conformance with
regulations for a public trail connection. This part of the work will be iterative relative to F.03, finding the
most opportune positioning for the bridge and the trail.
INITIATING THE WEST PROMENADE PAGE 6
CITY OF EDINA
E.04 Demonstrate a baseline for the connection experience. The team will apply the principles found for the
design of Centennial Lakes and The Promenade to the new connection. Interface opportunities with private
development will be highlighted along with the types and general locations for various activities that might
“fit” the connection. The experience, at this level of the design, will be demonstrated through diagrams and
vignettes that characterize the experience and, once accepted, set a standard for the further development
of the design.
E.05 Elaborate the design of the connection. This task is the first translation of a diagram to a sketch plan,
allowing for reviewers to more clearly “see themselves in the design.” While more illustrative than diagrams
developed in earlier tasks, it is only the first evolution of the design.
F.09 Provide an order of magnitude cost estimate. It’s important for the City to understand the consultant
team is working within financial parameters. While an estimate of costs might be possible at this stage, so
much more definition comes with the Preliminary Design. Still, a general understanding of the
bridge/underpass components can be assembled, perhaps with ranges associated with varying
assumptions, and the City can proceed with an understanding that a project can be realized.
F.10 Meetings as a means of gaining and exchanging information. Throughout the feasibility study,
meetings will be conducted with the City (information gathering and progress reports), other agencies and
public entities (engineering and design requirements, review and approval process, participation potential),
and developers (design alignment, schedule, and construction coordination). We are assuming six virtual
meetings during this phase.
F.11 Project sharing. Even as the information gained in this stage of the work will be highly technical, the project
is one benefitting the Edina community. This might occur in project specific meetings and in an update to
the City Council or HRA. In addition, we will provide updates regularly to be shared by City staff on the
Better Together website.
The team will develop drawings, illustrations, diagrams, and other graphics necessary to describe the design. In
some instances, they may be sketches or precedent images, while others may be more fully descriptive. Whatever
the medium, the intention for these graphics is exploration of ideas and initiating compelling conversations about
the built experience. Future stages of the work will offer refinements as the range of options narrows.
Proposed Fee
LHB will work on an hourly basis with a maximum budget of Eighty Thousand Dollars ($80,000) plus reimbursable
expenses, to complete the scope of work described as “Feasibility and Experience”.
Schedule
Our team will complete the feasibility scope within 2-3 months, with the full scope completed within 3-4 months.
INITIATING THE WEST PROMENADE PAGE 7
CITY OF EDINA
Terms and Conditions
Upon your approval of this proposal, we will prepare an agreement consistent with the terms and conditions of our
standard LHB agreement form.
We look forward to working with you, Bill Neuendorf, and other City stakeholders on the exciting exploration. Please
contact me at 612.251.7197 or mike.fischer@lhbcorp.com if you have any questions about this proposal.
LHB, INC.
MICHAEL A. FISCHER, VICE PRESIDENT
Accepted on this ________ day of ___________________,2024.
City of Edina, Minnesota
By: ____________________________________________
Title: ___________________________________________
Attachments: None
c: LHB Project No. 230407
m:\23proj\230407\100 financial\proposals\230407 20240212 city of edina initiating the west promenade proposal.docx
Date: F ebruary 15, 2024 Agenda Item #: VI.D.
To:C hair & C ommis s ioners of the Edina HR A Item Type:
Minutes
F rom:Liz O ls on, P lanning Adminis trative S upport S pec ialis t
Item Activity:
Subject:Draft Minutes of R egular Meeting on January 11,
2024
Action
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P MENT
AUT HO R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED:
Approve minutes from J anuary 11, 2024.
I N TR O D U C TI O N:
AT TAC HME N T S:
Description
Draft Minutes of Regular Meeting on January 11, 2024
Page 1
MINUTES
OF THE REGULAR MEETING OF THE
EDINA HOUSING AND REDEVELOPMENT AUTHORITY
JANUARY 11, 2024
7:30 AM
I. CALL TO ORDER
Chair Hovland called the meeting to order at 7:32 a.m. then explained the processes created for
public comment.
II. ROLLCALL
Answering rollcall were Chair Hovland, Commissioners Agnew, Jackson, Pierce, and Risser.
Absent: None.
III. PLEDGE OF ALLEGIANCE
IV. MEETING AGENDA APPROVED - AS AMENDED
Motion by Commissioner Agnew, seconded by Commissioner Jackson, approving the
meeting agenda as amended to include discussion of the upcoming worksession agenda
topic regarding the 2024 State Legislative Agenda: Affordable Housing Financing after
Reports and Recommendations.
Roll call:
Ayes: Agnew, Jackson, Pierce, Risser, and Hovland
Motion carried.
The HRA discussed the impacts of moving the worksession topic to the regular meeting which
removed the opportunity for public comment. Executive Director Neal noted that public comment
typically did not occur at worksessions.
The HRA discussed the intent of amending the agenda was to allow an open, televised discussion
and make the process easier for people to see. Discussion was held about waiving the rules regarding
community comment and continue the worksession topic in this room which would address the
concern. HRA consensus was to allow community comment on the topic.
V. COMMUNITY COMMENT
Andy Brown, 5512 Park Place, shared concerns regarding Items 2.4 and 2.5 of the proposed state
legislative agenda regarding deed tax and tear down tax, especially regarding impacts to seniors who
need the equity when they move which was disappointing after a lifetime of support of this
community through property taxes.
Molly Cronin, 10 Merry Lane, said she was disappointed the HRA and Council were attempting to
sneak through the deed and tear down tax without public comment. She commented that adding
more taxes to homeowners was because they were the easiest to bully and how the proposed
strategy to build this fund would instead bilk the single-family homeowners by adding taxes to hurt
homeowners and make Edina less attractive for future residents. She said the City was working to
create new low-income housing opportunities but not protecting current homeowners then spoke
about the lack of response to crime through the two additional officers in the Southdale area and
how that was not enough and how homeowners were exploring hiring their own individuals to
address crime.
David Frenkel, 4510 Lakeview Drive, commented about the deed transfer tax and the huge expense
it would incur then noted this effort would affect realtors and said the realtors’ association would
lobby against this action. He shared concerns about the Grandview pedestrian bridge and how
Minutes/HRA/January 11, 2024
Page 2
people were ignoring the chain barrier and going under the bridge and that the City needed to
address this safety concern.
V.A. EXECUTIVE DIRECTOR’S RESPONSE TO COMMUNITY COMMENTS
Executive Director Neal said there were no past Community Comments.
The HRA shared comments regarding the work and transparency around the proposed legislative
platform and the goal to obtain community input as best they could while working to best serve the
community.
VI. ADOPTION OF CONSENT AGENDA AS AMENDED
Motion by Commissioner Risser, seconded by Commissioner Agnew, approving the
consent agenda as amended to remove VI.A and VI.D:
VI.A. APPOINTMENT OF THE EXECUTIVE DIRECTOR OF THE HRA
VI.B. ADOPT RESOLUTION NO. 2024-01; DESIGNATING OFFICIAL NEWSPAPER
VI.C. ADOPT RESOLUTION NO. 2024-02; DESIGNATING OFFICIAL DEPOSITORIES
VI.D. APPROVE MINUTES OF THE REGULAR MEETING OF NOVEMBER 30, 2023, AND
SPECIAL MEETING OF DECEMBER 5, 2023
Roll call:
Ayes: Agnew, Jackson, Pierce, Risser, and Hovland
Motion carried.
ITEMS REMOVED FROM THE CONSENT AGENDA
VI.A. APPOINTMENT OF THE EXECUTIVE DIRECTOR OF THE HRA - POSTPONED
The HRA stressed the need for transparency and process and how the Council did not follow
through on January 3 and review the City Manager’s contract. Since the item was rescheduled to
January 16, they suggested the appointment item be tabled until the review was complete so actions
were done in a sequential manner. Discussion was held on reasons for the postponement of the
manager’s contract and felt an exception could be made for this appointment.
Mr. Neal confirmed the City Manager’s contract auto renewed and included the duties of the
Executive Director which carried over unless materially changed by the Council.
Motion by Commissioner Risser, seconded by Commissioner Pierce, to postpone to
appointment of the Executive Director of the HRA to the January 25, 2024, meeting.
Roll call:
Ayes: Agnew, Jackson, Pierce, Risser, and Hovland
Motion carried.
VI.D. MINUTES OF THE REGULAR MEETING OF NOVEMBER 30, 2023, AND SPECIAL
MEETING OF DECEMBER 5, 2023 – APPROVED
The HRA shared concerns about how minute content and discussion was reduced to asked
questions and provided feedback and how this did not capture concerns of Commissioners or
Council. They commented how this process could silence their voice for the public and how actions
could be interpreted to be done without analysis or support. Discussion was held regarding how
decisions made were binding regardless of documented feedback and could actually weaken the
strength of the resulting vote and if we wanted to change the format and level of content of minutes
that this should be a separate discussion with staff and decided upon later.
Communications Director Bennerotte explained the purpose of minutes and how the recordings
were the official record and that minutes paraphrased an item’s outcome.
Minutes/HRA/January 11, 2024
Page 3
Motion by Commissioner Jackson, seconded by Commissioner Pierce, to approve
minutes of the Regular Meeting of November 30, 2023, and Special Meeting of
December 5, 2023 as presented.
Roll call:
Ayes: Agnew, Jackson, Pierce, Risser, and Hovland
Motion carried.
VII. REPORTS AND RECOMMENDATIONS
VII.A. ELECTION OF OFFICERS – APPROVED
Executive Director Neal said bylaws of the HRA required the annual appointment of officers. The
officer positions were Chair, Vice Chair and Secretary and officers must be nominated by members
of the HRA then approved by majority vote. He noted the nomination and approval could be done
individually or by slate.
Motion by Commissioner Risser, seconded by Commissioner Jackson, approving the
election of officers as follows: Mayor Hovland as Chair; Council Member Jackson as
Vice Chair; and, Council Member Pierce as Secretary.
Roll call:
Ayes: Agnew, Jackson, Pierce, Risser, and Hovland
Motion carried.
VII.B. REQUEST FOR PURCHASE; CHANGE ORDER #1 FOR GRANDVIEW PEDESTRIAN
BRIDGE, AWARDING THE BID TO THE RECOMMENDED LOW BIDDER, KIMLEY
HORN, $70,000 – APPROVED
Director of Engineering Millner said this change order was to update the contract amount to reflect
changes encountered during construction that required additional engineering review. The additional
engineering review was required to ensure the improvements were structurally safe for users.
Member Jackson made a motion, seconded by Member Agnew, to approve a Request
for Purchase; Change Order #1 for Grandview Pedestrian Bridge, awarding the bid to
the recommended low bidder, Kimley Horn, $70,000.
Ayes: Agnew, Jackson, Pierce, Hovland
Nays: Risser
Motion carried.
VII.C. REQUEST FOR PURCHASE; CHANGE ORDER #2 FOR GRANDVIEW PEDESTRIAN
BRIDGE ENGINEERING SERVICES, AWARDING THE BID TO THE
RECOMMENDED LOW BIDDER, PEMBER COMPANIES, $269,489.20 – APPROVED
Mr. Millner said this change order is to update the contract amount to reflect changes encountered
during construction.
Member Jackson made a motion, seconded by Member Agnew, to approve a Request
for Purchase; Change Order #2 For Grandview Pedestrian Bridge Engineering Services,
Awarding the Bid to the Recommended Low Bidder, Pember Companies, $269,489.20.
Ayes: Agnew, Jackson, Pierce, Hovland
Nays: Risser
Motion carried.
VII.D. 2024 STATE LEGISLATIVE AGENDA: AFFORDABLE HOUSING FINANCING –
DISCUSSED
Mr. Neal shared staff’s work to refine discussions around the legislative item that would be presented
to the Council for approval January 16. He noted the time before a session was important to get
Minutes/HRA/January 11, 2024
Page 4
topics and issues confirmed for inclusion on the legislative agenda and requested action by the HRA
on this topic.
The HRA shared background on the work and progress for the past year to help identify potential
funding for the sizable gap for additional forms of housing affordability. They spoke about how
previous focus was on rental housing and the shift to focus more on affordable ownership and how
the Council brought a group of residents together with a consultant to research and review data on
how to solve these two challenges. They said the result was sharing work product with the Council
that included review of potential funding sources that ranged from $40-$100 million and how Items
2.4 and 2.5 were removed from the legislative agenda after community input was received and how
the items were still included online to keep continuity and transparency during the agenda review
process. They said while the items had been removed this still did not solve the problem and said
staff will continue to review data points with the intent to determine what type of approach can be
made for progress towards these important goals.
Affordable Housing Development Manager Hawkinson shared at the December 19 Council
worksession the 2024 Legislative Platform was reviewed and how at this time, two items that would
require seeking legislative authorization to pursue to create a sustainable housing fund were
removed in order to have a separate conversation as an HRA. The two items were: 1) seeking
authorization to impose a demolition fee, and 2) authorization to impose a single-family transfer tax.
She said if the State Legislature granted authorization to pursue these two funding sources, then the
City would commence with the public process to gather public input prior to the fee and tax being
implemented, if so approved. She explained how this was not the group’s intent to have these items
be part of this legislative agenda but first discussed and decided upon by Council which concepts to
bring forward for further consideration. Ms. Hawkinson confirmed there was no voting on new
taxes and how this was part of the process which could have been done differently procedurally to
avoid some confusion. She clarified no Council or HRA member had directed this topic be formally
included in a legislative agenda before more conversation or public input had been gathered then
shared specific data points regarding affordable housing stock under which showed by how housing
affordability was greatly at risk with the median value projected to be greater than $1 million in 10
years. She shared change in rent expense versus household income comparisons then outlined
current funding of $2.5 million which only supported 8 single family homes or one smaller multifamily
project because of the huge gap. Ms. Hawkinson said the task force reviewed assessment and
planned sources for review to generate more funding that could result in $100 million if all was
implemented.
The Commission asked questions and provided feedback.
Motion made by Commissioner Agnew, seconded by Commissioner Pierce, to exclude
Item 2.4 seeking authorization to impose a demolition fee, and Item 2.5 authorization
to impose a single-family transfer tax from the proposed legislative agenda.
Roll call:
Ayes: Agnew, Jackson, Pierce, Risser, and Hovland
Motion carried.
The Commission agreed about the need and commitment for continued public discussion
surrounding life cycle housing and clarity on the making a commitment to more discussions about
life cycle housing and affordability which would include opportunities for public comment regarding
life cycle and affordable housing.
VIII. EXECUTIVE DIRECTOR’S COMMENTS – Received
IX. HRA COMMISSIONER COMMENTS – Received
Minutes/HRA/January 11, 2024
Page 5
X. ADJOURNMENT
Motion made by Commissioner Agnew, seconded by Commissioner Pierce, to adjourn
the meeting at 9:09 a.m.
Roll call:
Ayes: Agnew, Jackson, Pierce, Risser, and Hovland
Motion carried.
Respectfully submitted,
Scott Neal, Executive Director
Date: F ebruary 15, 2024 Agenda Item #: VI I.A.
To:C hair & C ommis s ioners of the Edina HR A Item Type:
R eport / R ecommendation
F rom:S tephanie Hawkinson, Affordable Housing
Development Manager Item Activity:
Subject:F irs t Amendment to R edevelopment Agreement for
4620 Wes t 77th S treet
Ac tion
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P MENT
AUT HO R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED:
Approved First Amendment to Redevelopment Agreement for 4620 West 77th Street and authorized execution
thereof.
I N TR O D U C TI O N:
On December 8, 2022 the H R A approved a R edevelopment Agreement with 4620 L L C for the development of
a 276-unit multi-family development located at 4620 W. 77th S t. 100% of the units are planned to be affordable to
the general workforce: ten percent (10%) of units (28 units) will be affordable to households with incomes at or
below 50% of the Area M edian I ncome (AM I ), and an additional 40% of the units (110 units) will have rents
restricted not to exceed 120% of AM I . T he remaining 50% of the units are intended to have rents not to exceed
120% of AM I but could increase in response to increasing expenditures.
T he 28 affordable units were to be available to any income qualified household. I n the past year, the Managing
M ember of 4620 L L C , Solhem Companies, has been meeting with advocates for people with developmental
disabilities, including the parent group that participated in the development proposal for S t. P eter's church that did
not move forward.
B ased on the prevalent need for affordable housing to serve people with disabilities, 4620 L L C is requesting to
amend the R edevelopment Agreement and Declaration of R estrictive C ovenants to reflect that the target
population for the affordable units will be people with developmental disabilities. All other deal points will remain
as previously approved.
AT TAC HME N T S:
Description
Staff Report
First Amendment to Redevelopment Agreement
February 15, 2024
Chair and Commissioners of the Edina Housing and Redevelopment Authority
Stephanie Hawkinson, Affordable Housing Development Manager
Approval of the First Amendment of Redevelopment Agreement for Multifamily Housing at
4620 W. 77th St.
Information / Background:
The Solhem Companies is constructing a 276-unit multi-family development located at 4620 W. 77th St. (the
“Site”). In December 2022 the HRA and City Council approved a Redevelopment. 100% of the units are
planned to be affordable to the general workforce: ten percent (10%) of units (28 units) will be affordable to
households with incomes at or below 50% of the Area Median Income (AMI), and an additional 40% of the
units (110 units) will have rents restricted not to exceed 120% of AMI. The remaining 50% of the units are
intended to have rents not to exceed 120% of AMI but could increase in response to increasing
expenditures. Initially, 100% of the anticipated rents will be below 120% of AMI with the vast majority
affordable to households with incomes at or below 100% of AMI ($119,280 for a household of 2) and over
half with rents affordable to households with incomes less than 80% of AMI ($95,424 for a household of 2).
The City Council approved the final rezoning, final development plan, and site improvement plan for the
proposed project on October 6th, 2022. The development is currently under construction.
Over the course of the year Solhem has been meeting with advocacy groups for people with developmental
disabilities, including the parent group that worked to bring an affordable housing development to St. Peter’s
church at 54th and France. When the St. Peter’s proposed development did not move forward, Staff worked
with the advocates to find another location. Solhem was amenable to serve this population.
Proposed Amendment
The proposed amendment pertains to prioritizing individuals with developmental disabilities for the 28
affordable units. If a unit remains open after affirmatively marketing for 30-days, the property manager may
lease to an income qualified general occupant. The overlay provides an advantage/preference to individuals
with developmental disabilities but does not disadvantage or discriminate against any protected classes.
All other terms and conditions remain within the Redevelopment Agreement.
Housing and Redevelopment Authority
Established 1974
Execution Version
First Amendment to Redevelopment Agreement (4620 W. 77th Street)
First Amendment to
Redevelopment Agreement
(4620 W. 77th Street)
by and among
City of Edina, Minnesota,
Housing and Redevelopment Authority of Edina, Minnesota,
and
4620 LLC
Dated as of
[Dated Date], 2024
THIS DOCUMENT WAS DRAFTED BY:
Dorsey & Whitney LLP
50 South Sixth Street, Suite 1500
Minneapolis, MN 55402-1498
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
FIRST AMENDMENT
TO
REDEVELOPMENT AGREEMENT
(4620 W. 77th Street)
THIS FIRST AMENDMENT TO REDEVELOPMENT AGREEMENT (this “Amendment”) is
made and entered into [Dated Date], 2023 (“Effective Date”), by and among the City of Edina, Minnesota,
a Minnesota statutory city (the “City”), the Housing and Redevelopment Authority of Edina, Minnesota,
a public body corporate and politic organized and existing under the laws of the State of Minnesota (the
“Authority”), and 4620 LLC, a Minnesota limited liability company (“Developer”).
RECITALS
A. Pursuant to and in accordance with Minnesota Statutes, Sections 469.174 to 469.1794, as
amended (the “TIF Act”), the Authority is authorized to finance certain eligible redevelopment costs of
redevelopment projects with tax increment revenues derived from a tax increment financing district
established in accordance with the TIF Act.
B. Pursuant to the temporary authority for use of tax increments granted by Section 469.176,
subdivision 4n of the TIF Act, on October 28, 2021, the Authority adopted, and on November 16, 2021, the
City approved, a written spending plan for unobligated tax increment monies for the TIF District and other
previously established tax increment financing districts in the City (the “Spending Plan”) and established
the Special Projects and Redevelopment Capital Fund (the “SPaRC Fund”) to encourage and incentivize
new private investment in the City’s commercial and industrial districts by providing loans, grants and/or
equity for development projects in accordance with the Spending Plan.
C. The City, the Authority, and the Developer entered to that certain Redevelopment
Agreement dated December 20, 2022 (the “Original Agreement,” and together with this Amendment the
“Agreement”) in which the Authority agreed to provide Developer (or its permitted assignee) certain Pooled
Tax Increments and the unobligated increment from the SPaRC Fund in connection with Developer’s
development and construction of certain Minimum Improvements (as such terms are defined in the Original
Agreement).
D. The parties desire to amend the Original Agreement to adjust the provisions therein related
to the affordable housing requirements and the exhibit related thereto.
NOW, THEREFORE, in consideration of foregoing Recitals, which are incorporated into the
provisions of this Amendment by this reference, and the mutual obligations of the parties hereto, each of
them does hereby covenant and agree with the others as follows:
Article I
Recitals; Text, Definitions
1.1 Recitals. The foregoing Recitals are incorporated into this Amendment by this reference,
including the definitions set forth therein.
1.2 Text. To indicate amendments to the Original Agreement, strikethrough (strikethrough) and
underline (underline) text shall be used. Added language shall be indicated with underline text and deleted
language shall be indicated with strikethrough text.
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
1.3 Definitions. Unless the context otherwise specifies or requires, the terms used in this
Amendment have the definitions given them in the Original Agreement. All defined terms may be used in
the singular or the plural, as the context requires.
Article II
Representations and Warranties
2.1 Original Agreement Representations and Warranties Reaffirmed. The City, the Authority,
and the Developer hereby reaffirm their respective representations and warranties provided in Article II of
the Original Agreement.
Article III
Amendments and Additions
3.1 Amendment to Section 4.6. Section 4.6 of the Original Agreement is hereby amended as
follows:
4.6 Affordable Housing and Workforce Housing.
(a) Affordable Housing Requirements. Developer covenants that at least 10% of the
residential units within the Minimum Improvements, but in no event fewer than 28 of such
residential units (each an “Affordable Unit” and collectively the “Affordable Units”) will
be leased (i) to individuals, or households consisting of an individual, with a developmental
disability (collectively “Individuals with Developmental Disability”), as defined by United
States Code, Title 42, Section 15002, Subsection (8), and (ii) at rates (inclusive of utilities
and mandatory fees) that are considered affordable to individuals or households earning
less than 50% of the U.S. Department of Housing and Urban Development’s Area Median
Income for the Minneapolis-Saint Paul-Bloomington Metropolitan Statistical Area for a
period of 20 years commencing on the date that all the Affordable Units are first occupied
by qualified households (the “Affordable Housing Requirements”); provided, however, if
after affirmatively marketing a vacant Affordable Unit to Individuals with Developmental
Disability for a period of at least thirty (30) days (the “Initial Vacancy Period") Developer
is unable to lease said Affordable Unit to an Individual with Developmental Disability,
then Developer need not comply with romanette (i) of this Subsection (a) with respect to
said Affordable Unit’s next tenancy. For purposes of this Subsection (a), the Initial
Vacancy Period shall include both (i) the thirty (30) day period immediately preceding the
date of delivery of a Certificate of Occupancy, and (ii) the thirty (30) day period
immediately subsequent to the date of delivery of each notice of tenancy termination or
eviction regarding the respective Affordable Unit.
(b) The Affordable Housing Requirements shall also incorporate and include the
following conditions and requirements:
(i) no security deposit shall be required in excess of the amount of one month
of rent in connection with any Affordable Unit;
(ii) during the final year of the affordability period, new leases for the
Affordable Units must be for a term of no less than six months, and such newly
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
leased Affordable Units will be subject to all the Affordable Housing
Requirements until the expiration of such new leases;
(iii) Developer shall affirmatively market the Affordable Units to (i)
Individuals with Developmental Disability and (ii) one or more traditionally
underserved populations as affordable at the rates required hereunder;
(iv) prior to Commencement of the Minimum Improvements, Developer shall
notify the Authority of Developer’s initial determination as to whether the
Affordable Units will be “fixed” to particular housing units within the Minimum
Improvements or floating among various housing units with the Minimum
Improvements. If the Affordable Units are to be fixed, Developer shall provide the
Authority with the unit numbers of such fixed Affordable Units;
(v) the two-bedroom units must be leased to households consisting of at least
two members; provided, however, this romanette (v) requirement shall not apply
to Affordable Units leased to Individuals with Developmental Disability;
(vi) During the affordability period, Developer will not refuse to lease an
Affordable Unit to the holder of a voucher or certificate of eligibility under Section
8 of the United States Housing Act of 1937, or any other housing assistance
program, solely because of the status of the prospective tenant as such a holder;.
(vii) the Affordable Units shall be subject to the terms and condition of the
Inclusionary Housing Policy Program Guide (“Policy Guide”), a current version
of which is attached as Exhibit K, provided, however, the Affordable Housing
Requirements hereunder shall not include changes in the Policy Guide adopted by
the City which differ from the Policy Guide attached as Exhibit K; and
(viii) Developer shall, upon annual invoicing, reimburse the City (or such
subdivision of the City administrating the Affordable Housing Requirements) for
third-party expenses related to monitoring of Developer’s compliance with the
Affordable Housing Requirements, which such costs shall initially not exceed
$2,700 per year (plus any additional costs necessitated by re-inspections for
noncompliance with the Affordable Housing Requirements) and thereafter be
subject to reasonable adjustment from time to time;.
(ix) The Affordable Units shall consist of at least, twenty (20) one bedroom
units, and eight (8) two bedroom units. Any change in the foregoing distribution
of units shall require the prior written approval of the Author ity, which such
consent will not be unreasonably conditioned, delayed or withheld. Any change in
the unit distribution shall be accounted for in any updated TIF Pro Forma;.
(x) of the affordable units shall have the same access to building amenities as
residents of the market-rate units. The level of finish within the affordable units
must be consistent with the level of finish within new construction, affordable
apartments in the Twin Cities metropolitan area; and .
(xi) On or about the date which is one year before the original expiration of the
Affordable Housing Requirements, the Authority and Developer shall negotiate in
good faith the terms and conditions of an extension of initial 20-year term of the
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
Affordable Housing Requirements. All parties agree to negotiate in good faith but
without binding either party to a particular outcome, including binding the
Developer to an extension of the 20-year term, if the parties are unable to agree
upon terms and conditions acceptable to Developer.
(c) Workforce Housing Requirements. Developer covenants that at least 110 of the
residential units within the Minimum Improvements (excluding the Affordable Units) (the
“Workforce Units”) will be leased at rates (inclusive of utilities and mandatory fees) that
are considered affordable to individuals or households earning less than 120% of the U.S.
Department of Housing and Urban Development’s Area Median Income for the
Minneapolis-Saint Paul-Bloomington Metropolitan Statistical Area for the duration of the
TIF Note payments (the “Workforce Housing Requirements”). At least 30 days prior to
each semi-annual TIF Note payment, Developer shall provide the Authority with a
certification of rent rolls for the previous six-month period, which show that the Workforce
Units are rented in accordance with this Section.
(d) Compliance with Affordable Housing Requirements and Workforce Housing
Requirements. For avoidance of doubt, any failure by Developer to comply with the
Affordable Housing Requirements and Workforce Housing Requirements will be a Default
under this Agreement and, if such Default is not cured within any applicable notice and
cure period hereunder, it shall be an Event of Default, during which, in addition to the
City’s and Authority’s other rights and remedies hereunder, payments and accrual of
interest on the TIF Note shall be suspended.
(e) Restrictive Covenant. The Affordable Housing Requirements and the Workforce
Housing Requirements will be set forth in a restrictive covenant in substantially the form
shown in the attached Exhibit L and to be recorded against the Project Area prior to, and
as a condition to, the issuance of the TIF Note (the “Housing Restrictive Covenant”). The
Housing Restrictive Covenant shall not be subordinated or junior to any Mortgage on the
Minimum Improvements, and if any Mortgage exists at the time the Housing Restrictive
Covenant is to be recorded, Developer shall cause the mortgagee under such Mortgage to
subordinates the Mortgage and the lien thereof to the Housing Restrictive Covenant.
3.2 Amendment to Exhibit L. Recital E and Section 3(a) in Exhibit L of the Original Agreement
are hereby amended as follows:
E. Pursuant to the Redevelopment Agreement, Declarant has agreed to
impose certain restrictive covenants upon the Property to ensure t hat at least 28 of the
housing units within the Project will be leased (i) except as otherwise provided in Section
4.6 of the Redevelopment Agreement, to individuals, or households consisting of an
individual, with a developmental disability (collectively “Individuals with Developmental
Disability”), as defined in United States Code, Title 42, Section 15002, Subsection (8), and
(ii) at rates considered affordable to certain individuals or households whose gross annual
income does not exceed 50% of the area median income, as more particularly described
herein (the “Affordable Units”).
3. Occupancy Requirements and Restrictions.
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
(a) Affordable Unit Qualifying Tenants. Except as otherwise provided in
Section 4.6 of the Redevelopment Agreement, During the Term, the Affordable Units shall
be leased and occupied (or held vacant and available for occupancy) only by Affordable
Unit Qualifying Tenants. “Affordable Unit Qualifying Tenants” means individuals, or
households consisting of an individual, with a developmental disability, as defined in
United States Code, Title 42, Section 15002, Subsection (8) who, at initial occupancy, have
a combined gross annual income which does not exceed 50% of the area median income
(including adjustments for family size), as determined by the U.S. Department of Housing
and Urban Development’s (“HUD”) Area Median Income for the Minneapolis-Saint Paul-
Bloomington Metropolitan Statistical Area (“AMI”).
Article IV
Additional Provisions
4.1 Titles of Articles and Sections. Any titles of the several parts, Articles and Sections of the
Amendment are inserted for convenience of reference only and shall be disregarded in construing or
interpreting any of its provisions.
4.2 Severability. If any term or provision of this Amendment is determined to be invalid or
unenforceable under applicable Law, the remainder of this Amendment shall not be affected thereby, and
each remaining term or provision of this Amendment shall be valid and enforceable to the fullest extent
permitted by applicable Law.
4.3 Ratification. Except as specifically modified by this Amendment, the terms and provisions
of the Original Agreement shall remain in full force and effect.
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
IN WITNESS WHEREOF, the City, the Authority and Developer have caused this Agreement to
be duly executed in their names and on their behalf, all on or as of the date first above written.
City of Edina, Minnesota
By: _________________________________________
James B. Hovland, Mayor
By: _________________________________________
Scott H. Neal, City Manager
STATE OF MINNESOTA )
) ss.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this ____ day of _________, 2023, by
James B. Hovland and Scott H. Neal, the Mayor and City Manager, respectively, of the City of Edina,
Minnesota, on behalf of the City of Edina.
______________________________________
Notary Public
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
Housing and Redevelopment Authority of
Edina, Minnesota
By: ______________________________
James B. Hovland, Chair
By: ______________________________
James Pierce, Secretary
STATE OF MINNESOTA )
) ss.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this ____ day of __________,
2023, by James B. Hovland and James Pierce, the Chair and Secretary, respectively, of the Housing and
Redevelopment Authority of Edina, Minnesota, on behalf of said Authority.
______________________________________
Notary Public
Execution Version
[Signature Page to First Amendment to Redevelopment Agreement (4620 W. 77th Street)]
4620 LLC,
a Minnesota limited liability company
By: _________________________________________
Name: _______________________________________
Its: __________________________________________
STATE OF _______________ )
) ss.
COUNTY OF ______________ )
The foregoing instrument was acknowledged before me this ___ day of ___________, 2023, by
____________________, the _______________ of 4620 LLC, a Minnesota limited liability company, on
behalf of the company.
Notary Public
Date: F ebruary 15, 2024 Agenda Item #: VI I.B.
To:C hair & C ommis s ioners of the Edina HR A Item Type:
Advisory C ommunic ation
F rom:S tephanie Hawkinson, Affordable Housing
Development Manager Item Activity:
Subject:Affordable Hous ing Disc ussions Disc ussion
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P MENT
AUT HO R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED:
Discussion only.
I N TR O D U C TI O N:
T he H R A has discussed the need for community discussions around the issue of affordable housing. Staff
prepared a brief history on the community engagement undertaken for the creation of the Housing Chapter of the
C omprehensive P lan and on the H ousing S trategy Task Force P lan.
AT TAC HME N T S:
Description
Staff Report
February 15, 2024
Chair and Members of the HRA
Cary Teague, Community Development Director
Stephanie Hawkinson, Affordable Housing Development Manager
Affordable Housing Community Discussions
Information / Background:
The HRA has been discussing the need to engage the community to create a vision for affordable housing.
Staff felt it was important to provide background on community engagement efforts that led to the passage
of the Comprehensive Plan and Housing Strategy Task Force Plan.
2020 Comprehensive Plan
The 2020 Comprehensive Plan, adopted on August 18, 2020, was the culmination of five years of planning
and meetings. Contained within is a Housing Chapter that outlines the housing status and community vision
that led to the goals and implementation ideas. As described in the Comprehensive Plan, the Planning
Commission, comprised of Edina residents, was “responsible for preparing, reviewing, and making
recommendations on the Comprehensive Plan, including its required updates. The Comprehensive Plan Task
Force, comprised of residents who are currently on the Planning Commission, oversaw the preparation of
the updated Comprehensive Plan and addressed both the Metropolitan Council’s regional planning
requirements and local planning concerns. The City’s local planning efforts documented in this
Comprehensive Plan update were predominantly focused on five small area plans and one district plan.
Work Groups made up of community members appointed by the [Planning Commission] guided the small
area plan and district plan studies and the development of related plan documents.”1
Prior to embarking on the Comprehensive Plan, in 2015 the City hired Future IQ to lead the community
through a visioning process, “Vision Edina.” This process entailed extensive community engagement through
surveys, think tank meetings, community meeting to develop a strategic framework, one focus area of which
was “Live and Work.” To bridge the time gap between the visioning sessions and the Comprehensive Plan,
in 2017 the City Council required that two workshops, called the “Big Ideas” workshops, be held to review
the visioning outcomes. With regards to housing, the outcome of the Big Ideas workshops were the
following:
STAFF REPORT Page 2
Affordable housing is really life cycle housing; values behind are socio economic (equity), balance,
and diversity.
Co-operative housing: separate living spaces that include communal; areas such as gardens, kitchens,
gathering spaces.
Affordable single-family homes.
Affordable housing; revisit density/building height issues.
Encourage cradle to grave neighborhoods with diverse ethnic backgrounds, full spectrum age and
diverse neighborhoods.
More diverse housing options within each node.
Preserve socio-economic balance; no super wealthy segregation; more racial/ethnic diversity and
multi-cultural celebrations.
During the drafting of the Comprehensive plan, which commenced in 2018, numerous open public meetings
were held (please refer to the appendix). The focus of these was not housing, but that topic was part of the
mix. Prior to passage, the Edina Housing Foundation and the Edina Neighbors for Affordable Housing
reviewed and provided input on the final draft of the Housing Chapter.
Housing Strategy Task Force Report
Due to concerns raised during the Comprehensive Plan approval process, in April 2019, the City Council
approved the creation of a Housing Strategy Task Force to support the City’s development of a
comprehensive housing strategy. The charge was to:
Review the current state of housing options in Edina.
Recommend an optimal composition of housing options to the City Council to ensure the long-term
fiscal and social health and viability of the community.
Propose a strategy to the City Council that seeks to achieve that optimal composition.
The Council selected seven residents from an applicant pool of 50. The Task Force met bi-weekly for 1.5
hours. During the spring of 2020, the meetings were regularly held once a week for 2 hours including a six-
hour long retreat in July. The Task Force met approximately 45 times.
The final report is a compilation of the Task Force’s varied opinions and perspectives. It includes the
preservation of R1 zoning for single-family houses and it recognizes the need for more multi-family housing
production to accommodate growth. It honors the diversity of the neighborhoods and proposes housing
for people who want to age in place, as well as affordability levels for lower income workers in Edina who
may want the option to live closer to their jobs. It recognizes that Edina is getting older yet needs young
families to populate the schools. The report is not prescriptive. It does not guide what should be built
where. Rather it is a document to guide housing priorities in the city, to suggest strategies to achieve
specific goals, and to encourage the city on how to proactively enable, support and facilitate quality housing
development that meets the evolving needs and desires of current and future residents. The report was
reviewed by the HRRC and the Edina Housing Foundation. Both bodies provided feedback.
STAFF REPORT Page 3
Rather than simply accepting the final report, the HRA Commissioners elected to approve the report at
their December 10, 2020 meeting.
1 https://www.edinamn.gov/DocumentCenter/View/8102/01-Introduction-PDF
STAFF REPORT Page 4
Appendix
2018 Comprehensive Plan Update – Public Meetings Held
2017
Feb. 22 City Council Work Session Public Meeting (Community Room)
(to discuss the proposed P.C. Comp. Plan
process)
Feb. 29 HRRC – Comp Plan Discussion Public Meeting (Community Room)
March 7 City Council Work Session (Southdale Plan) Public Meeting (Community Room)
March 16 Transportation Commission – Bike & Ped Public Meeting (Community Room)
March 28 HRRC – Comp Plan Discussion Public Meeting (Community Room)
April 3 Health Commission – Comp. Plan Discus. Public Meeting (Community Room)
April 19 Big Ideas Workshop Community Meeting (Public Works)
April 22 Mapping Edina’s Big Ideas Community Meeting (Public Works)
April 17 Heritage Preservation Comm. – Comp Plan Public Meeting (Community Room)
May 3 Boards & Commission Workshop Public Meeting (Public Works)
May 8 Comp. Plan Kick-off Meeting Community Meeting (Breamar)
May 15 44th & France SAP Kick off meeting Community Meeting (City Hall)
May 24 Big Ideas Report – P.C. Work Session Public Meeting (Community Room)
May 30 44th & France Work Group Meeting Public Meeting
June 8 EEC – Comp Plan Discussion Public Meeting (Community Room)
June 13 Heritage Preserv. Comm. – Goals/policy Public Meeting (Community Room)
June 28 City Council Work Session – Check in (44th) Public Meeting (Community Room)
June 29 44th & France Community Meeting #1 Community Meeting (Morningside Church)
July 13 EEC – Comp Plan Discussion Public Meeting (Community Room)
July 13 Bike & Ped Plan – Open House Community Meeting (Senior Center)
July 18 44th & France Work Group Meeting Public Meeting
July 24 44th & France Work Group Meeting Public Meeting
July 26 Planning Commission work session Public Meeting (Community Room)
Aug 14 44th & France Community Meeting #2 Community Meeting (Morningside Church)
Aug 17 Transportation Commission Public Meeting (Community Room)
Aug 17 Bike & Ped. Plan Workshop Public Meeting (Centennial Lakes)
Aug 18 Bike & Ped. Plan Workshop Public Meeting (Jerry’s Foods)
Aug 19 Bike & Ped. Plan Workshop Public Meeting (Bredesen Park)
Aug 29 44th & France Work Group Meeting Public Meeting
Sept. 6 City Council Work Session – Check in Public Meeting (Community Room)
Sept. 12 44th & France Work Group Meeting Public Meeting
Sept. 12 Parks Commission – Comp. Plan Public Meeting (City Hall)
Sept. 20 Bike & Ped. Plan Listening Session Public Meeting (Edina H.S.)
Sept. 28 Bike & Ped. Plan – Trans. Comm Meeting Public Meeting (City Hall)
Sept. 28 Arts & Culture – Comm. Facilities/open spc. Public Meeting (Edina Art Center)
STAFF REPORT Page 5
Oct. 3 HRRC – Comp Plan Chapter work Public Meeting (Community Room)
Oct. 5 70th & Cahill Work Group Meeting Public Meeting
Oct. 9 Health Commission – Chapter work Public Meeting (Community Room)
Oct. 10 Heritage Preservation Comm. – Comp Plan Public Meeting (Community Room)
Oct. 10 Parks Commission – Comp. Plan kick off Public Meeting (City Hall)
Oct. 12 70th & Cahill Work Group Meeting Public Meeting
Oct. 12 EEC – Comp Plan Water Res. Discussion Public Meeting (Community Room)
Oct. 16 44th & France Community Meeting #3 Community Meeting (Morningside Church)
Oct. 26 Transportation Commission – Tool Kit Public Meeting (Community Room)
Oct. 30 Southdale District Work Group Meeting Public Meeting (Public Works)
Nov. 2 70th & Cahill Work Group Meeting Public Meeting
Nov. 7 44th & France Work Group Meeting Public Meeting
Nov. 9 70th & Cahill Work Group Meeting Public Meeting
Nov. 9 EEC – Comp Plan Water Res. Discussion Public Meeting (Community Room)
Nov. 13 Health Commission – Chapter work Public Meeting (Community Room)
Nov. 14 Parks Commission – Parks Chapter Public Meeting (City Hall)
Nov. 14 Heritage Preservation Comm. – Comp Plan Public Meeting (Community Room)
Nov. 16 Southdale District – Workshop #1 Public Meeting (Public Works)
Nov. 16 44th & France Work Group Meeting Public Meeting
Nov. 16 Transportation Commission – Goals/policy Public Meeting (Community Room)
Nov. 21 City Council Work Session – Mgmnt Plan Public Meeting (Community Room)
Nov. 30 70th & Cahill Work Group Meeting Public Meeting
Nov. 30 Southdale District – Workshop #2 Public Meeting (Public Works)
Nov. 29 Planning Commission Work Session Public Meeting (Community Room)
Dec. 5 City Council Work Session – Check in Public Meeting (Community Room)
Dec. 6 Bike & Ped Plan - Community Open House Community Meeting (Senior Center)
Dec. 9 70th & Cahill – Community Meeting#1 Community Meeting (Public Works)
Dec. 11 Health Commission – Chapter work Public Meeting (Community Room)
Dec. 12 Parks Commission – Parks Chapter Public Meeting (City Hall)
Dec. 14 Southdale District – Workshop #3 Public Meeting (Public Works)
Dec. 14 EEC – Comp Plan Discussion Public Meeting (Community Room)
Dec. 21 Transportation Commission – Goals/policy Public Meeting (Community Room)
2018
Jan. 4 Southdale District – Workshop #4 Public Meeting (Public Works)
Jan. 8 Health Commission – Chapter work Public Meeting (Community Room)
Jan. 9 Parks Commission – Parks Chapter Public Meeting (City Hall)
Jan. 11 70th & Cahill Work Group Meeting Public Meeting (Public Works)
Jan. 11 EEC – Comp Plan Discussion Public Meeting (Community Room)
Jan. 18 Southdale District – Workshop #4a Public Meeting (Public Works)
Jan. 18 Bike
STAFF REPORT Page 6
Jan. 18 70th & Cahill Work Group Meeting Public Meeting (Public Works)
Jan. 18 Transportation Commission – Goals/policy Public Meeting (Community Room)
Jan. 25 70th & Cahill Work Group Meeting Public Meeting (Public Works)
Jan. 25 Southdale District – Workshop #5 Public Meeting (Chamber of Comm)
Jan. 30 HRRC – Comp Plan Discussion (Chapter) Public Meeting (Community Room)
Feb. 3 70th & Cahill – Community Meeting #2 Community Meeting (Public Works)
Feb. 8 Southdale District – Workshop #6 Public Meeting (Public Works)
Feb. 8 70th & Cahill Work Group Meeting Public Meeting (Public Works)
Feb. 8 EEC – Comp Plan Bike & Ped Discussion Public Meeting (Community Room)
Feb. 12 Health Commission – Chapter work Public Meeting (Community Room)
Feb. 13 Parks Commission – Parks Chapter Public Meeting (City Hall)
Feb. 13 Heritage Preservation Comm. – Comp Plan Public Meeting (Community Room)
Feb. 14 Bike & Ped Plan – PC Public Hearing Public Hearing (City Hall)
Feb. 15 Transportation Commission – Goals/policy Public Meeting (Community Room)
Feb. 21 City Council Work Session – Check in Public Meeting (Community Room)
Feb. 21 Bike & Ped Plan – Council Public Hearing Public Hearing (City Hall)
Feb. 22 70th & Cahill Work Group Meeting Public Meeting (Public Works)
Feb. 22 Arts & Culture Comm. – Comp Plan Discu. Public Meeting (Edina Arts Center)
Feb. 24 70th & Cahill Work Group Meeting Public Meeting (Public Works)
Feb. 27 HRRC – Comp Plan Discussion (Chapter) Public Meeting (Community Room)
Feb. 28 Planning Commission Work Session – 44th Public Meeting (Community Room)
March 1 Southdale District – Work Group Meeting Public Meeting (Public Works)
March 3 70th & Cahill – Community Meeting #3 Community Meeting (Public Works)
March 8 Southdale District – Workshop #7 Public Meeting (Chamber of Comm)
March 8 EEC – Comp Plan Discussion Public Meeting (Community Room)
March 8 70th & Cahill Work Group Meeting Public Meeting (Public Works)
March 13 Parks Commission – Parks Chapter Public Meeting (City Hall)
March 13 Heritage Preservation Comm. – Comp Plan
44th & France SAP Public Meeting (Community Room)
March 14 44th & France – PC Public Hearing Public Hearing (City Hall)
March 15 Transportation Commission – Goals/policy Public Meeting (Community Room)
March 22 Arts & Culture Comm. – Comp Plan Discu. Public Meeting (Edina Arts Center)
March 28 PC Work Session – Chapter Review
(Heritage Pres., Transportation, EEC) Public Meeting (Community Room)
March 29 Southdale District – Workshop #8&9 Public Meeting (Public Works)
April 3 44th & France – Council Public Hearing Public Hearing (City Hall)
April 3 HRRC – Comp Plan Discussion (Chapter) Public Meeting (Community Room)
April 9 Health Commission – Chapter work Public Meeting (Community Room)
April 10 Parks Commission – Parks Chapter Public Meeting (City Hall)
April 11 PC Work Session – Chapter Review
(Parks, Arts & Culture) Public Meeting (Community Room)
April 12 Southdale District – Workshop #10 Public Meeting (Public Works)
April 12 EEC – Comp Plan Discussion Public Meeting (Community Room)
STAFF REPORT Page 7
April 19 Southdale District Work Group Meeting Public Meeting (Public Works)
April 19 Transportation Commission – Draft chapter Public Meeting (Community Room)
April 24 HRRC – Comp Plan Discussion (Chapter) Public Meeting (Community Room)
April 25 PC Work Session – Chapter Review
(Community Health & HRRC) Public Meeting (Community Room)
April 26 Arts & Culture Comm. – Comp Plan Discu. Public Meeting (Edina Arts Center)
May 8 Parks Commission – Parks Chapter Public Meeting (City Hall)
May 14 Health Commission – Chapter work Public Meeting (Community Room)
May 24 Southdale District – Workshop #10A Public Meeting (Public Works)
June 4 50th & France Work Group Meeting Public Meeting (City Hall)
June 11 Health Commission – Chapter work Public Meeting (Community Room)
June 14 Southdale District – Workshop #11 Public Meeting (Public Works)
June 21 50th & France Work Group Meeting Public Meeting (City Hall)
June 26 Southdale District – Workshop #12 Public Meeting (Public Works)
June 27 PC Work Session – Chapter Review
(Econ Dev. & Land Use) Public Meeting (Community Room)
July 9 Health Commission – Chapter work Public Meeting (Community Room)
July 10 50th & France – Community Meeting #1 Community Meeting (Edina Comm. Luth.)
July 10 Heritage Pres. Comm. – Comp Plan/Implem Public Meeting (Community Room)
July 12 Southdale District – Open House #1 Community Meeting (Public Works)
July 17 City Council Work Session – Check in Public Meeting (Community Room)
July 19 50th & France Work Group Meeting Public Meeting (City Hall)
July 25 PC Work Session – Chapter Review
(Land Use & Housing) Public Meeting (Community Room)
July 26 Southdale District Work Group Meeting Public Meeting (Public Works)
Aug. 2 50th & France Work Group Meeting Public Meeting (City Hall)
Aug. 9 Southdale District – Workshop #13 Public Meeting (Public Works)
Aug. 15 PC Work Session – Chapter Review
(Land Use & Housing) Public Meeting (Community Room)
Aug. 16 50th & France Work Group Meeting Public Meeting (City Hall)
Aug. 16 Transportation Commission – Draft chapter Public Meeting (Community Room)
Aug. 22 50th & France – Community Meeting #2 Community Meeting (Public Works)
Aug. 23 Southdale District – Work Group Meeting Public Meeting (Public Works)
Aug. 29 PC Work Session – Chapter Review
(Land Use & Housing) Public Meeting (Community Room)
Sept. 6 Southdale District – Work Group Meeting Public Meeting (Public Works)
Sept. 12 PC Work Session – Chapter Review
(Housing & Econ. Competitiveness) Public Meeting (Community Room)
Sept. 13 Health Commission – Chapter work Public Meeting (Community Room)
Sept. 18 50th & France Work Group Meeting Public Meeting (City Hall)
Sept. 26 PC Work Session – Chapter Review
(Southdale District Plan) Public Meeting (Community Room)
Oct. 4 Southdale District – Work Group Meeting Public Meeting (Public Works)
STAFF REPORT Page 8
Oct. 9 50th & France Work Group Meeting Public Meeting (City Hall)
Oct. 10 PC Work Session – Chapter Review
(Water Resource & Land Use) Public Meeting (Community Room)
Oct. 18 Southdale District – Workshop #14 Public Meeting (Public Works)
Oct. 23 50th & France – Community Meeting #3 Community Meeting (Public Works)
Oct. 24 PC Work Session – Chapter Review
(Land Use, Arts & Cul., Health, Heritage,
Parks, Community Facilities) Public Meeting (Community Room)
Oct. 25 Southdale District – Work Group Meeting Public Meeting (Public Works)
Nov. 6 50th & France Work Group Meeting Public Meeting (City Hall)
Nov. 8 Southdale District – Work Group Meeting Public Meeting (Public Works)
Nov. 14 PC Work Session – Chapter Review
(70th & Cahill District Plan) Public Meeting (Community Room)
Nov. 19 Southdale District – Open House #2 Community Meeting (Public Works)
Nov. 20 City Council Check in – Southdale & Econ Public Meeting (Community Room)
Nov. 28 70th & Cahill – PC Public Hearing Public Hearing (City Hall)
Dec. 12 Southdale District – P.C. Public Hearing Public Hearing (City Hall)
Dec. 18 Southdale District – Council Public Hearing Public Hearing (City Hall)
Dec. 19 50th & France Work Group Meeting Public Meeting (City Hall)
2019
Jan 8 70th & Cahill – City Council Public Hearing Public Hearing (City Hall)
Jan 9 PC Work Session – Chapter Review
(Land Use & Transportation) Public Meeting (Community Room)
Jan 30 PC Work Session – Calendar Planning Public Meeting (Community Room)
Feb. 4 50th & France – Work Group Meeting Public Meeting (Community Room)
Feb. 27 PC Work Session – Chapter Review
(Draft Plan Discussion) Public Meeting (Community Room)
March 11 Comp. Plan Open House Community Meeting (Public Works)
March 13 PC Work Session – 50th & France SAP Public Meeting (Community Room)
March 27 PC Work Session – Comp. Plan Public Meeting (Community Room)
March 27 50th & France SAP Public Hearing (City Hall
April 2 City Council Work Session – Check in Public Meeting (Community Room)
April 2 50th & France SAP –Council Public hearing Public Hearing (City Hall)
April 10 PC Work Session – Comp. Plan Public Meeting (Community Room)
April 17 PC Work Session – Comp. Plan Public Meeting (Community Room)
April 24 Planning Commission Comp. Plan Draft Public Hearing (City Hall)
May 7 City Council Comp. Plan Draft Public Hearing (City Hall)
Date: F ebruary 15, 2024 Agenda Item #: VI I I.A.
To:C hair & C ommis s ioners of the Edina HR A Item Type:
R eport / R ecommendation
F rom:Bill Neuendorf, Economic Development Manager
Item Activity:
Subject:2023 Year in R eview Information
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P MENT
AUT HO R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED:
No action required; for informational purposes only.
I N TR O D U C TI O N:
Each year, staff prepares a Year in R eview document to summarize and document the actions and activities
undertaken by the H R A. T he document also contains updated information about Edina's use of tax increment
financing.
S taff will present the document and be available for questions.
AT TAC HME N T S:
Description
2024 Edina HRA Year in Review
Staff Pres entation
HOUSING AND REDEVELOPMENT AUTHORITY
2023 - YEAR IN REVIEW
OVERVIEW
The Edina Housing and Redevelopment Authority (HRA) was established in 1974 for the purpose of undertaking
urban redevelopment projects and assisting with the development of affordable housing. The members of the Edina
City Council serve as Commissions of the Board of the HRA. The Edina City Manager serves as Executive Director
of the HRA. From time to time, additional services are provided to the HRA by City staff as part of their regular
job duties.
The HRA also uses third-party professionals to provide expertise on specific matters that require specific expertise
including the preparation of legal and financial agreements and to provide required monitoring and reporting
oversight.
This report has been prepared by City of Edina staff to highlight activities and accomplishments in the past year.
This report also contains updated project information that may shape upcoming activities and programs of the HRA.
2023 HRA COMMISSIONERS
The members of the Edina City Council also serve as the Board of Commissioners of the HRA.
• James Hovland, Chair
• Kate Agnew, Vice Chair
• James Pierce, Secretary
• Carolyn Jackson
• Julie Risser
MAJOR 2023 ACCOMPLISHMENTS
• Completed the construction of 118 new affordable senior housing units at 4040 W. 70th Street by Lupe
Development and Ecumen. The building is called Forty-Forty Flats.
• Started construction of The Finch mixed use apartments at 4620 W. 77th Street. This project will
transform a vacant office parcel into new mixed-income housing with street level commercial space and
multiple new public connections to Fred Richards Park. The new building will include 23 affordable
housing units and an additional 110 attainable housing units. The remainder will be market-rate. The City
& HRA entered into a TIF Redevelopment Agreement to use TIF and SPARC to supplement the private
financing of this project.
2023 Edina HRA – Year in Review Page 2
• Delivered 20 new affordable apartment units with the completion of the Eddi Apartments in Pentagon
Village. Although this project is located in a TIF District, the construction was privately funded with no
TIF assistance.
• Approved TIF Redevelopment Agreement with Orion Investments dba 7250 France Group to redevelop
a vacant commercial property at 7200 and 7250 France Avenue in a manner that delivers several public
realm improvements and creates pads for a new office building and a new multi-family or hotel building. A
new TIF District was established to support financing for this project. Groundbreaking is anticipated in
2024 or 2025.
• Decertified and closed the 72nd and France TIF District.
• Celebrated the grand opening of the new Edina Innovation Lab operated by the Edina Chamber of
Commerce at 7201 Metro Blvd. This project was funded with a $610,767.01 construction loan from the
HRA.
• Substantially completed the pedestrian bridge and public sidewalk to connect the Grandview public
parking garage with the future park and restaurant development on the east side of the railroad tracks.
This route also connects businesses east of the railroad tracks with the existing parking garage. This
project implements one of the goals of the 2012 Grandview Framework. The project was funded by the
Grandview 2 TIF District. Final handrail elements and electrical work is scheduled for installation in 2024.
• Completed the first phase of roadway improvements on Eden Avenue east of Hwy 100 and Eden &
Willson roundabout funded by the Eden Wilson TIF District. Additional roadwork on Grange and 50th
Street is scheduled for 2024 and 2025.
• Completed the Small Business Technical Assistance Program using ARPA funds in 2023. This program
provided services to 17 Edina businesses as they improved their online presence to supplement their
brick-and-mortar facilities.
• Closed on 9 “Come Home 2 Edina” second mortgages of which 3 also used Edina’s First Generation
homebuying mortgage program.
• Continued the Affordable Ownership Preservation Program by assisting Homes Within Reach (aka West
Hennepin Affordable Housing Land Trust) in acquiring an additional 3 houses to be rehabilitated and
placed into a 99-year ground lease. In 2023, five homes were completed and sold to homeowners.
• Expanded the Affordable Ownership Preservation Program by partnering with Twin Cities Habitat for
Humanity using funds provided by Metropolitan Council. In 2023, Habitat for Humanity acquired two
houses for the program in Edina and has a third purchase under contract.
• Added two additional rental properties into the 4d/Resilient Homes program, preserving six additional
NOAH rental units and creating more energy efficient buildings.
2023 Edina HRA – Year in Review Page 3
CITY STAFF SUPPORT
The HRA does not directly employ any staff. Administrative support for the HRA is carried out by members of
the City staff. These HRA duties are in addition to the other duties carried out by City staff. City staff includes:
• Scott Neal, City Manager and HRA Executive
Director
• Stephanie Hawkinson, Affordable Housing
Development Manager
• Addison, Lewis, Community Development
Coordinator
• Bill Neuendorf, Economic Development Manager
• Chad Milner, City Engineer
• Alisha McAndrews, Finance Director
• Liz Olson, Administrative Support Specialist
• Pa Thao, Assistant Finance Director
• Cary Teague, Community Development Director
External Support, as needed
• Affordable Housing Connections – affordable housing compliance advisors
• Campbell Knutson – general legal advisors
• Dorsey & Whitney – redevelopment legal advisors
• Edina Housing Foundation – affordable housing policy advisor and manager of mortgage programs
• Ehlers Associates – financial advisors
OVERVIEW OF REDEVELOPMENT ACTIVITY
This was another active year in the commercial and multi-family construction industries. With the direct impacts
of the COVID-19 pandemic in the rearview mirror, the national and local economy began to settle into the new
“normal”. By mid-year however, the impacts of rapidly rising inflation were being counteracted by the rapid rate
escalation by the Federal Reserve. While these actions appear to have slowed inflation, they have also brought the
capital markets to a near standstill. Large projects that did not secure construction debt early in 2023
encountered delays as equity and institutional investors sought out lower risk investments that delivered
attractive returns. The slow net absorption in the office market and uncertainty in the long-term trends regarding
work-from-home counteracted the “flight to quality” that was previously creating demand for new Class A office
space. Several new office and hospitality projects have been delayed until the economic trends stabilizes. Despite
these trends, small office and retail leases continue to advance. Demand for single-family houses continues to be
good in Edina. While higher mortgage rates hindered some new buyers, the lack of available houses had the most
impact on single-family transactions in Edina.
Most redevelopment in Edina occurs on properties that were originally developed decades ago. The aging
structures on these properties typically have not kept pace with the needs or expectations of the current
marketplace.
Most redevelopment in Edina is privately funded. The HRA does participate in project financing when the project
is determined to be unfeasible without local public intervention and when the proposed project delivers long-term
community benefits. Most of the 60+ major redevelopment projects constructed since the recovery from the
Great Recession have been privately funded.
2023 Edina HRA – Year in Review Page 4
TAX INCREMENT FINANCING DISTRICTS
As of year-end 2023, Edina has eleven active TIF districts. One new TIF District was established this year as a
replacement for a TIF District that was decertified early. The Southdale 2 TIF District was de-certified at year end
2021 and is not active. Key details of Edina’s active TIF districts are summarized below:
Name Type Size
(acres)
Year
Established
First
Collection
Expiration
Year
4040 W. 70th Street Special Housing, 20-years 1.58 2021 2025 2045
44th and France 2 Renewal, 15-years 1.0 2018 2021 2036
50th and France 2 Redevelopment, 25-years 2.8 2017 2020 2045
70th and France Renewal, 15-years 5.8 2022 2026 2041
72nd and France Special Housing, 20-years -
INACTIVE 5.2 2019 NA 2023
72nd and France 2 Redevelopment, 25-years 5.2 2023 2026 2051
Amundson Avenue Special Housing, 20-years 1.2 2019 2022 2042
Eden Willson Redevelopment, 25-years 11.9 2021 2025 2050
Grandview 2 Redevelopment, 25-years 10.8 2016 2020 2045
66 West Housing – 25 years 0.9 2016 2019 2044
West 76th Street Special Housing, 20-years 2.0 2018 2022 2042
Pentagon Park Redevelopment, 25-years 47 2014 2018 2043
In general, Edina uses TIF to a lesser extent than neighboring communities. For property taxes paid in 2023, only
1.2% of Edina’s property tax base was included in a TIF District. This is approximately the same as 2022 (1.1%)
and a significant decrease from 2021 (5.0%). Maps and graphs to illustrate the use of TIF in Edina are attached as
Exhibits A and B.
More detailed information regarding each TIF District is contained in the Annual Report submitted to Minnesota’s
Office of the State Auditor in July. Those reports are available upon request.
INCREMENTAL PROPERTY TAX COLLECTIONS
Incremental property taxes are being collected in 7 of the 11 TIF Districts. The amount of incremental taxes is
calculated by Hennepin County. The amount collected in each District is summarized below. The 2023 estimates
are based on the most recent information available from Hennepin County. These figures may adjust slightly if
Hennepin County provides a final distribution.
It should be noted that these “incremental” taxes do not include the base property taxes that are distributed to
each of the taxing districts like the County, City and School Districts. Similarly, the amounts shown below do not
include other taxes paid by commercial and industrial property owners that are distributed to the State of
Minnesota and contributed into the fiscal disparity pool that is shared with other municipalities in the Twin Cities
metro region.
2023 Edina HRA – Year in Review Page 5
TIF District Name & Number 2019 2020 2021 2022 2023
Southdale 2 (#1208-1209-1210)
INACTIVE $6,104,336 $5,751,287 $6,670,723 -$256,600* -$105,276*
Pentagon Park (#1211) $445,174 $380,452 $529,365 $534,592 $527,032
Grandview 2 (#1212-1213) $77,768 $183,889 $534,481 $576,949 $598,588
66 West (#1214) $610 $2,736 $15,813 $7,982 $14,111
50th & France 2 (#1215) NA $59,476 $496,140 $607,283 $723,704
44th & France 2 (#1216) NA NA $38,786 $219,440 $232,885.02
70th & France (#1221) NA NA NA NA NA
72nd & France (#1218) INACTIVE NA NA NA NA $320**
72nd & France 2 (#TBD) NA NA NA NA NA
West 76th St (#1217) NA NA NA NA $36,735
Amundson (#1219) NA NA NA $22,698 $50,588
4040 W. 70th Street (# 1220) NA NA NA NA NA
Eden Willson (# TBD) NA NA NA NA NA
* Refund of 2020 and 2021 property tax appeals.
** 72nd and France was issued $320 payment in error. The funds were returned to Hennepin County in 2023.
Source: Hennepin County Tax Increment Finance Settlement statement dated 1-22-2024
POOLED INCREMENT AVAILABLE FOR AFFORDABLE HOUSING
PROJECTS & RELATED EXPENSES
Minnesota statutes allow a portion of the incremental taxes to be pooled within or outside the boundaries of the
TIF District to support other qualified expenses. Edina’s TIF policy recommends that incremental taxes not
needed to pay debt obligations be pooled to support affordable housing in Edina. The following table summarizes
the monies currently available to pool to other projects in Edina.
TIF District Name & Number 2022 2023
Southdale 2 INACTIVE (#1208-1209-1210) NA $257,294
66 West (#1214) $0 * $0*
72nd & France (#1218) INACTIVE NA NA
West 76th St (#1217) NA $0
Amundson (#1219) $22,698 $50,588
4040 W. 70th Street (#TBD) NA NA
* Increment anticipated to be used to repay outstanding debt to Southdale 2 rather than pooled to new
affordable housing expenses
2023 Edina HRA – Year in Review Page 6
HRA INTERFUND LOANS
From time-to-time, funds from one HRA or City account are loaned to another account. Current interfund loans
are identified below.
Borrowed
From
Loaned
to Purpose and Date Principal
Amount Interest Status
Centennial
Lakes Fund
Grandview
2 Fund
Redevelopment planning,
7-17-2018 $500,000 4.0 % Res. 2018-64; Active
Centennial
Lakes Fund
50th &
France 2
Fund
Building demolition and
expansion of North
Parking Ramp, 10-17-2017
$4,150,000 4.0 % HRA Res. 2017-08; Active
Centennial
Lakes Fund
Eden
Willson
Engineering design for
upcoming roadway
improvements, 9-7-2022
$500,000 4.0 % HRA Res. 2022-09; Active
Southdale 2
Fund
66 West
Fund
Loan to support
construction of affordable
housing at 3330 W. 66th
Street
$275,000 0.0 %
HRA RDA 4-5-2016;
Active; Repaid $10,000 in
2021 and will make similar
payment for 2022
City
Construction
Fund
Eden
Willson
Construction of Eden-
Grange-Willson
intersection
$2,000,000 4.0% HRA Res 2023-06; Active
TIF NOTES ISSUED TO PRIVATE DEVELOPERS
When Edina uses Tax Increment Financing for privately owned projects, TIF Notes are usually pledged. The Notes
are payable only after successful completion of the project. This method retains the financial risk with the real
estate developer. If the project is not successfully completed, the City/HRA are not responsible for payments on
the Note. The status of current TIF Notes issued to private developers is summarized in the following table.
TIF
District
Private
Developer &
Date of
Agreement
Total
Private
Investment
Description
of Pledge
(Principal &
Interest Rate)
Status of TIF Pledge
Completion
Certificate
Issued
Note
Issued
Interest
Bearing
Paya
ble
Pentagon
Park
Solomon Real Estate
/ Hillcrest
Development dba
Pentagon Village
LLC (10-16-2018)
Approx
$20 M as of
2019 (not
including new
construction
on Lots 3 & 4
by other
developers)
Note A: $9.0
M; 6.0% 7-9-19 7-12-19
Yes
beginning
8-1-2020
Yes
Note B:
$5.4M; 6.0% 7-9-19 7-12-19
Yes
beginning
8-1-2020
Yes
Note C: $3.7
M; 6.0% 7-9-19 7-12-19 No No
Solhem Companies
dba 4620 LLC (12-
20-2022)
$84.9 M est. $7.35 M; 6.0%
PENDING Pending Pending No No
2023 Edina HRA – Year in Review Page 7
TIF
District
Private
Developer &
Date of
Agreement
Total
Private
Investment
Description
of Pledge
(Principal &
Interest Rate)
Status of TIF Pledge
Completion
Certificate
Issued
Note
Issued
Interest
Bearing
Paya
ble
Grand
view 2 NONE NA NA NA NA NA NA
66 West
Beacon Interfaith
Housing
Collaborative (4-5-
2016)
$10.5 M $550,000* 6-6-2017 NA NA NA
50th &
France 2
Buhl Investors and
Saturday Properties
dba Edina Market
Street, LLC (6-27-17)
$78.5 M $10.1 M; 6.0% 1-31-2021 1-11-
2018
Yes
Beginning
1-31-2021
Yes
44th &
France 2
Orion Investments
and United
Properties dba
Orion 4500 France,
LLC (12-18-2018)
$30.5 M $2.295 M;
5.0% 5-10-2021 5-10-
2021
Yes
beginning
5-10-2021
Yes
70th &
France
Site A: MDI France
Avenue, LLC aka
Mortenson
Development (6-30-
2022)
$138.7 M
est.
NTE $5.0 M;
4.25%
PENDING
Pending Pending No No
Sites B & C: MDI
France Avenue, LLC
aka Mortenson
Development
and/or Orion
Investments (6-30-
2022)
$115.3 M
est.
NTE $17.0 M;
4.25%
PENDING
Pending Pending No No
72nd &
France
INACTIVE
France Equities,
France Equities II
and CPEC Exchange
39560 & 39561 LLC
(4-16-2019)
$0
In default
NTE $ 12 M;
NTE 5.5% In default In
default No No
72nd &
France 2
7250 France Group,
LLC (4-18-2023)
$85.6 M
est.
NTE $7.55 M;
6.50% Pending Pending No No
West 76th
St
AEON dba The
Sound on 76th
Limited Partnership
(1-14-2021)
$23.7 M $798,000;
4.25% 10-18-22 5-2-23
Yes
Beginning
5-2-23
Yes
2023 Edina HRA – Year in Review Page 8
TIF
District
Private
Developer &
Date of
Agreement
Total
Private
Investment
Description
of Pledge
(Principal &
Interest Rate)
Status of TIF Pledge
Completion
Certificate
Issued
Note
Issued
Interest
Bearing
Paya
ble
Amund-
son NONE NA NA NA NA NA NA
4040 W.
70th Street
Lupe / Ecumen dba
4040 West 70th
Street Apartments
(4-7-2022)
$32.97 M
est
$1.503 M;
4.0%
Pending
Anticipated
2024
Anticipated
2024 Pending No
Eden
Willson
Reuter Walton dba
Eden Avenue
Group, LLC (11-3-
2021)
$84 M
est
NTE $5.1 M;
NTE 4.0%
Anticipated
2024
Anticipated
2024 Pending No
* Agreement with Beacon Interfaith was for two payments upon closing and upon completion of building shell of affordable
housing development
PAYMENTS MADE ON TIF NOTES
After a project is successfully completed and the project begins to pay incremental property taxes, the applicable
TIF Note becomes payable. Payments are typically made twice annually to reflect the property tax payment
structure in Hennepin County. The following table summarizes recent payments on current TIF Notes.
TIF
District Private Developer
Principal and
Interest Rate of
TIF Note
TIF Payments Made
Previous
(2020-22) 2023 Cumulative
Pentagon
Park
Solomon Real Estate /
Hillcrest Development dba
Pentagon Village LLC
$9.0 M; 6.0% $199,677.73 $ 119,540.10 $319,217.83
$5.4 M; 6.0% $80,010.00 $ 65,305.20 $145,315.20
$3.7 M; 6.0% $0 $0 $0
Solhem Cos dba 4620 LLC $7.35M; 6.0%
PENDING NA NA NA
Grandview
2
NONE - TIF used for
public infrastructure NA NA NA NA
66 West Beacon Interfaith Housing
Collaborative NA NA NA NA
50th &
France 2
Buhl Investors and
Saturday Properties dba
Edina Market Street, LLC
$10.1 M; 6.0% $550,069.06 $598,944.29 $1,149,013.30
2023 Edina HRA – Year in Review Page 9
TIF
District Private Developer
Principal and
Interest Rate of
TIF Note
TIF Payments Made
Previous
(2020-22) 2023 Cumulative
44th &
France 2
Orion Investments and
United Properties dba
Orion 4500 France, LLC
$2.295 M; 5.0% $214,949.66 $104,798.25 $319,747.91
70th &
France
Site A: MDI France, LLC
NTE $5.0 M;
4.25%
PENDING
NA NA NA
Site B & C: MDI France,
LLC
NTE $17.0 M;
4.25%
PENDING
NA NA NA
72nd &
France
France Equities, France
Equities II and CPEC
Exchange 39560 & 39561
LLC
None NA NA NA
72nd &
France 2 7250 France Group, LLC NTE $7,550,000
PENDING NA $0 $0
West 76th
St
AEON dba The Sound on
76th Limited Partnership $798,000; 4.25% $0 $0 $0
Amundson NONE NONE NA NA NA
4040 W.
70th Street
Lupe / Ecumen dba 4040
W 70th St Apartments LP
$1.503 M; 4.0%
PENDING $0 $0 $0
Eden
Willson
Reuter Walton dba Eden
Avenue Group, LLC
NTE $5.1 M with
interest NTE
4.0%
$0 $0 $0
* Per each TIF Redevelopment Agreement, payments are only due IF the property generates sufficient growth in property
taxes to make Note payments. If the property does not generate sufficient incremental property taxes, no payments are due.
OTHER INVESTMENTS MADE WITH TIF FUNDS
From time to time, the City/HRA provides financial support using special funding sources. These sources have
several restrictions based on the applicable Minnesota Statute(s). Two types of special sources include: Tax
Increment that has been “pooled” from one site or District to another; and SPARC funds which were originally
unallocated tax increment collected in Pentagon Park, Southdale 2 and 70th Cahill /Wooddale Valleyview.
These funds are also committed to advance community goals within the scope of the HRA. The recent and
anticipated payment obligations for these special funds are summarized in the following table.
2023 Edina HRA – Year in Review Page 10
Source
of Funds
Private Party
(Date of
Agreement)
Location and General
Description of Project and
Funding
Amount
and type Status
Southdale
2
(pooled)
AEON dba Villa
Nova Preservation
Joint Venture
(4-25-2019)
7008 Sandell – preservation of
11 units of affordable housing
$350,000
grant Completed in 2019.
Southdale
2,
continued
(pooled)
MWF Properties
dba Amundson
Flats LP
(6-11-2020)
7075 Amundson Ave -
redevelopment of vacant
commercial site with 62 units
of mixed income affordable
housing; site was acquired by
HRA and resold at lower price
to make the project viable
$700,000
land write
down
Completed in 2021.
Edina Housing
Foundation
4040 W. 70th St – acquisition of
outdated office building for
redevelopment as permanent
affordable housing
$3,650,000
forgivable
loan
Acquisition completed in
2021. Project completed
in 2023.
Lupe / Ecumen dba
4040 W 70th St
Apartments LP
4040 W. 70th St – development
of 118 units of affordable
senior housing
$1,336,901
deferred
mortgage
(40-years)
Completed in 2023.
AEON dba The
Sound on 76th LP
4100 W. 76th St –
redevelopment with 70 units of
mixed-income affordable
housing
$2,400,000
deferred
mortgage
(40-years)
Completed in 2022.
Metropolitan
Council HRA
(8-12-2021)
Funding for Family Affordable
Housing Program –acquisition
and rehabilitation of houses in
Edina which are leased at
affordable rates
$2,000,000
forgivable
loan (25-
years)
Completed in 2022.
Solhem Companies
(reserved)
5780 Lincoln – 89 units of
affordable family housing. Funds
pledged subject to full funding
and site plan approval
$2,500,000
TBD
Developer has received
almost all the necessary
funding from a variety of
partners and is anticipated
to seek regulatory
approval in 2024. Final
HRA funding approval is
contingent upon site plan /
zoning approval.
2023 Edina HRA – Year in Review Page 11
Source
of Funds
Private Party
(Date of
Agreement)
Location and General
Description of Project and
Funding
Amount
and type Status
Affordable Housing
Trust Fund
To support Affordable
Ownership Preservation
Program
$1,200,000 Committed to Twin Cities
Habitat for Humanity
66 West NA NA NA NA
Amund-
son NA NA NA NA
SPARC
Fund
(Unalloc-
ated TIF)
Mann Theatres dba
Brainerd
Entertainment aka
Edina Theaters
(9-7-2022)
3911 W. 50th St –$2.5M privately
financed complete renovation of
vacant theater including historic
sign; HRA funds forgivable after
Mann initiates the lease renewal
option; partially forgivable if lease
terminated earlier
$351,000
forgivable
loan
Project complete; theater
reopened 10-1-2022; Loan
funds issued Dec 2022
The HRA completed public
improvements to sidewalks and
the parking garage to align with
the reopening of the theater.
$450,000 Public infrastructure work
completed
Edina Chamber of
Commerce aka
Edina Innovation
Lab (11-17-2022)
7201 Metro Blvd – Up to $800k
for construction build-out of
vacant office space; partially
forgivable if private fundraising and
MBE / WBE goals achieved
$610,767
loan with up
to $250k
forgivable
Lease executed 12-22-
2022; construction
scheduled to begin January
2023 with occupancy
anticipated by June 2023;
occupancy in September
2023 with completion
December 2023
Solhem Companies
dba 4620 LLC
(12-20-2022)
4620 W. 77th St – Redevelopment
of vacant office building with new
276 unit apartment project priced
for mixed-incomes. Site work
includes construction of a new
public roadway that connects W
77th St to the rear parking area
and to Fred Richards Park
$2.0 M
forgivable
loan as
needed for
construction
of public
roadway
Construction began in
2023. An additional $7.35
M pledged to support the
affordable housing
2023 Edina HRA – Year in Review Page 12
Source
of Funds
Private Party
(Date of
Agreement)
Location and General
Description of Project and
Funding
Amount
and type Status
SPARC
Fund
(Unalloc-
ated TIF)
Buhl Investors dba
Buhl 3906 , LLC
3916 W. 50th Street (lower level)
– Remodeling of vacant lower level
commercial space to attract new
restaurant with live music venue.
Shell building needs handicapped
accessible lift and other core
improvements to allow the lower
level space to be occupied by a
new business.
$225,000
forgivable
loan
TBD
Owner is negotiating final
lease terms with
prospective tenant;
construction anticipated
2024. Funds only provided
after project is confirmed
to proceed.
The HRA was authorized to make
public improvements to adjacent
sidewalks and public areas to align
with the re-occupancy of the
vacant space.
$150,000 Pending
2023 Edina HRA – Year in Review Page 13
DEBT AND MAJOR CONSTRUCTION CONTRACTS ISSUED
From time to time, the City/HRA issues public debt and/or construction contracts related to redevelopment
efforts in TIF Districts. Depending on the scope of work, contracts for professional services like engineering,
architecture and construction administration are also awarded. The recent and anticipated payment obligations of
the Grandview 2 and Eden-Willson TIF Districts are summarized in the following table. No such obligations have
been made from the other TIF Districts.
TIF
District
Private
Contractor (Name
& City)
Description of Work Contract
Amount
Date of
Contract Status
Grandview
2
S.M. Hentges &
Sons, Inc. (Jordan,
MN)
Roadway Improvements, including
Eden Ave, Brookside Ave. and
Eden/Arcadia intersection –
Completed 2022
$4,193,499 5-12-
2021 Completed
Restoration and
Construction
Services (Clearwater,
MN)
Parking wayfinding, Parking Structure
Improvements – Completed 2022 $523,575 5-12-
2021 Completed
Pember Companies
(Menomonie, WI) with
subcontractors
Pedestrian Bridge and sidewalk
between Parking Structure and
Arcadia Ave
$3,053,098
(with change
order)
6-24-
2021
Substantially
complete
except for
handrails and
Xcel
transformer
relocation;
completion
anticipated
early 2024
Eden
Willson
SEH, Inc Eden Ave improvements, design
engineering $265.000 3-14-
2023
Completed
2023
S. M. Hentges &
Sons, Inc (Jordan,
MN)
Eden Ave improvements,
construction $1,858,986 3-14-
2023
Braun Intertec Eden Ave improvements, material
testing $28,242 3-14-
2023
TBD Grange Rd improvements TBD TBD Anticipated
2024-27
TBD 50th Street improvements TBD TBD Anticipated
2024-27
2023 Edina HRA – Year in Review Page 14
TIF SPENDING – BUDGET VERSUS ACTUAL
When a TIF District is established, a budget is created based on the purpose and objectives of the individual TIF
District. The budget categories are established by the State of Minnesota. The budget amounts for each line item
are estimates only. The actual amount spent can be shifted among these line items provided that the total
cumulative expenditures do not exceed the total amount of the approved budget. The budgets of the active TIF
Districts are summarized in the following table. Four of the TIF Districts (70th and France, 72nd & France 2,
Eden/Willson and 4040 W. 70th St) have not begun to collect increment and have not incurred Project Costs per
the OSA reporting methodology. Details can be found in the TIF Reports submitted to the Minnesota Office of
the State Auditor (OSA) each summer.
TIF
District
(Approved
Date)
Approved TIF Plan Budget Cumulative
Project
Costs
(July 2022 OSA
report, Line
21)
TIF
Project
Costs
(Sub-Total)
Spending Categories for Project
Costs
Interest
Cost
Maximum
Total
Costs
Southdale
2 Inactive
(4-17-2012 to
9-9-2021)
32,448,409
Land/Building Acquisition; Site
Improvements / Preparation; Affordable
Housing; Utilities; Other Qualifying
Improvements; Administrative Costs 1,500,000 33,948,409 $11,313,130
(33% of Max)
Pentagon
Park
(2-18-2014)
90,545,791
Land/Building Acquisition; Site
Improvements / Preparation; Utilities;
Other Qualifying Improvements;
Administrative Costs 80,032,553 170,578,344 $18,325,680
(11% of Max)
Grandview
2
(3-2-2016)
21,170.290
Land/Building Acquisition; Site
Improvements / Preparation; Utilities;
Other Qualifying Improvements;
Administrative Costs 14,556,934 35,727,224 $6,938,475
(19% of Max)
66 West
(4-5-2016) 597,575
Site Improvements / Preparation; Other
Qualifying Improvements; Administrative
Costs
0 597,575 $281,966
(47% of Max)
50th &
France 2
(6-20-2017)
16,692,088
Land/Building Acquisition; Site
Improvements / Preparation; Utilities;
Other Qualifying Improvements (public
parking); Administrative Costs
14,679,657 31,371,745 $14,646,391
(47% of Max)
2023 Edina HRA – Year in Review Page 15
TIF
District
(Approved
Date)
Approved TIF Plan Budget Cumulative
Project
Costs
(July 2022 OSA
report, Line
21)
TIF
Project
Costs
(Sub-Total)
Spending Categories for Project
Costs
Interest
Cost
Maximum
Total
Costs
44th &
France 2
(10-16-2018
2,884,407
Site Improvements / Preparation;
Affordable Housing; Utilities; Other
Qualifying Improvements (public
parking); Administrative Costs
1,200,366 4,084,773 $2,314,416
(57% of Max)
70th &
France 28,957,256
Land/Building Acquisition; Site
Improvements / Preparation; Utilities;
Other Qualifying Improvements (public
parking); Administrative Costs
10,604,929 39,562,185 NA
72nd &
France
(3-19-2019)
INACTIVE
17,675,232
Land/Building Acquisition; Site
Improvements / Preparation; Affordable
Housing; Utilities; Other Qualifying
Improvements; Administrative Costs
10,734,901 28,410,133 $0
72nd &
France 2
(4-18-2023)
16,870,078
Land/Building Acquisition; Site
Improvements / Preparation; Affordable
Housing; Utilities; Other Qualifying
Improvements; Administrative Costs
17,093,380 33,963,458 NA
West 76th
Street
(11-20-2018)
1,400,626
Affordable Housing; Administrative
Costs 759,752 2,160,378 $518
Amundson
(12-17-2019) 1,153,434 Affordable Housing; Administrative
Costs 549,767 1,703,200 $534
4040 W.
70th Street
(8-4-2021)
3,392,149 Affordable Housing; Administrative
Costs 0 3,392,149 NA
Eden
Willson
(11-3-2021)
14,934,231
Land/Building Acquisition; Site
Improvements / Preparation; Affordable
Housing; Utilities; Other Qualifying
Improvements; Administrative Costs
7,801,038 22,735,269 NA
2023 Edina HRA – Year in Review Page 16
PUBLIC BENEFITS DELIVERED WITH TIF REDEVELOPMENT
Edina’s TIF policy does not intend to use TIF merely to encourage private investment. Instead, TIF is considered
when the completed project can deliver measurable long-term benefits to the general public in Edina. The table
below summarizes some of key public benefits delivered with TIF.
X = Complete P = Pending
TIF District
Name
Type of Public Benefits Delivered Increase Property Tax Base Stimulate reinvestment in other properties Remove substandard buildings Environmental Remediation Job Creation Affordable Housing Public Parking Public Roadway Improvements Utility Improvements Streetscape Improvements Bike / Ped Improvements Other Roadway Improvements Plaza or Green Space Public Art Other Southdale 2
(Inactive) X X X
Pentagon Park P P X X P X X X X X
Grandview 2 X X X X X X X X X
66 West X X X
50th & France 2 X X X X X X X X X X X X
44th & France 2 X X X X X X X X X
70th & France P P X X P P P P P P P P
72nd & France
(INACTIVE) P P P P P P P P P P P
72nd & France 2 P X X P P P P P P P
West 76th St X X X X
Amundson X X X X X
4040 W. 70th
Street X X X X X
Eden Willson X X X P P X P P P P P
2023 Edina HRA – Year in Review Page 17
TIF FUND BALANCE
Edina creates a separate account or “fund” to accurately monitor the revenues and expenses of each TIF District.
After TIF Districts are decertified, remaining funds (if any) are returned to Hennepin County for redistribution to
the City, School District and County. For some older TIF Districts (Centennial Lakes and 70th & Cahill),
Minnesota Statutes allow the fund balance to remain in the TIF Fund to support additional redevelopment efforts.
In 2021, new Minnesota legislation allowed fund balances to be retained for future expenditures that follow the
adopted Spending Plan. The most recent and previous years audited fund balances are shown below.
TIF District
Name &
Number
12/31/2019
Balance
(audited)
12/31/2020
Balance
(audited)
12/31/2021
Balance
(audited)
12/31/2022
Balance
(audited)
Notes
Centennial Lakes
(#1203) Inactive $7,341,231 $7,346,662 $7,348,337 $7,227,247
Decertified in 2014; older district
allowed to retain balance for
other improvements
70th & Cahill /
Wooddale
Valleyview
(#1207)
INACTIVE
$352,410 $344,479 $342,892 $0
Decertified in 1999; older district
allowed to retain balance for
other improvements
Southdale 2
(#1208-1209-
1210)
INACTIVE
$11,792,881 $16,328,679 $24,234,205 $11,265,673
Decertified 12/31/2021; MN
legislation allows balance to be
used for affordable housing and
other improvements
Pentagon Park
(#1211) $422,998 $696,099 $1,203,637 $682,760
Grandview 2
(#1212-1213) $418,992 $498,072 $7,178,912 $3,235,330 Includes revenue issued with 2021
bond
66 West
(#1214) $20,235 $23,808 $25,844 $23,310
50th & France 2
(#1215) $0 $52,088 $254,042 $337,634
44th & France 2 NA NA $16,207 7,307
70th & France NA NA NA NA First collection anticipated in 2025
72nd & France IN
ACTIVE NA NA NA NA inactive
72nd & France 2 NA NA NA NA First collection anticipated in 2026
West 76th St
(#1217) -$517 $11,093 $10 $0
Amundson NA $0 $0 $21,894
4040 W. 70th
Street NA NA NA NA First collection anticipated in 2025
Eden Willson NA NA NA $447,110
First collection anticipated in
2025; includes interfund loan for
roadway construction
Sources: City of Edina 2019 CAFR (page 104); 2020 CAFR (page 105); 2021 CAFR (page 106); 2022 CAFR (page 107)
2023 Edina HRA – Year in Review Page 18
SPARC PROGRAM SUMMARY OF LOANS
The SPARC program began in 2021 with a balance of $9.3 million generated by the Southdale 2 TIF District. Some
of the SPARC funds are loaned to support business development. Smaller loans are typically forgiven as an
incentive to deliver long term benefits to the community. The terms of the loans and balance due are summarized
below.
Project
(date approved)
Brief Description &
Status
Loan
Amount
Max.
Amount
Forgivable
Amount Repaid Balance
Due 2023 Cumulative
Mann Theatres
dba Brainerd
Entertainment,
LLC (9-7-2022)
Restoration of Edina
Theater at 3911 W. 50th
St; up to $351,000
pledged at 4.0% unless
forgiven in year 6 of the
lease
$351,000 $351,000 $0 $0 TBD
Edina Chamber
of Commerce
dba Edina
Innovation Lab
(11-17-2022)
Construction of Edina
Innovation Lab at 7201
Metro Blvd up to $800k
pledged at 2.0% interest
unless partially forgiven
by YEAR - completed
December 2023
$610,767 $250,000 $0 $0 $610,767
Buhl Investors
dba Buhl 3906,
LLC (11-16-
2023)
Construction loan for
renovation of vacant
commercial space at 3916
W. 50th St. – up to $225k
pledged; forgivable if
terms satisfied – project
is in pre-development
phase and anticipated to
proceed in 2024
TBD TBD TBD TBD TBD
2023 Edina HRA – Year in Review Page 19
AFFORDABLE HOUSING TRUST FUND
In 2019 the City Council approved the Affordable Housing Trust Fund Ordinance. This formally designated that
the buy-In funds from the Affordable Housing Policy be used exclusively to support affordable housing efforts to
serve low and moderate income renters and homeowners in Edina. As of the end of 2023, $9,660,000 was
contributed to the Trust Fund through buy-in contributions from five multi-family developments. About 70% of
these funds have been invested or allocated to a variety of programs described below. These programs and
developments support the creation and preservation of affordable housing in Edina. A map of the general locations
of affordable housing is included in Exhibit C.
Buy-In Funds
Received Funds Awarded
REVENUE
The Loden Apartments - 2018 $2,000,000
The Lorient Apartments – 2019 $160,000
The Bower Apartments – 2021 $1,900,000
4425 Valley View Apartments - 2021 $300,000
The Fred Apartments (4660 W. 77th St) - 2022 $4,100,000
Transfer From Southdale II Pooled $1,200,000
Cumulative Assets = $ 9,660,000
EXPENSES
Nolan Mains affordable unit loan - 2019 ($750,000)
Property Tax 4d NOAH* and Resilient Homes Program ($210,000)
425 Jefferson Acquisition ($152,717)
Home Rehabilitation Program ($1,500,000)
Affordable Ownership Preservation Program - HWR ($3,300,000)
Affordable Ownership Preservation Program - TCHFH ($1,800,000)
First Generation Mortgage Program (EHF) – 2022 ($150,000)
Ending Balance = $ 1,797,283
* Naturally Occurring Affordable Housing (NOAH) apartments; Homes within Reach (HWR); Twin Cities Habitat
for Humanity (TCHFH)
2023 Edina HRA – Year in Review Page 20
AFFORDABLE HOUSING UNITS DELIVERED
(with Direct or Indirect HRA Involvement 2012 to Present)
TIF
District Project Name & Address
No.
Market
Units
No.
Affordable
Units
Notes
Southdale
2
Aria Edina Apartments
(3200 Southdale Circle) 184 8
5% are affordable at 60% AMI. These were
agreed to prior to a formal policy. Project
was privately funded with no TIF.
Aurora on France Senior
Housing
(6500 France)
182 10
5.5% are affordable at 30% AMI. These were
agreed to prior to a formal policy. Project
was privately funded with no TIF.
The Millennium Apartments
(3250 W. 66th St) 216 11
4.9% are affordable at 60% AMI. These were
agreed to prior to a formal policy. Project
was privately funded with no TIF.
Pentagon
Park
The Eddi Apartments
(4911 W. 77th) 180 20 10% affordable at 50% AMI for 20-years.
Project was privately funded with no TIF.
The Fred Apartments
(4660 W. 77th St) 408 0
A buy-in contribution was made in lieu of
providing affordable units in the building.
Project was privately funded with no TIF.
The Finch Apartments
(4620 W. 77th St)
248
Pending
28
Pending
10% are affordable at 50% AMI. An additional
40% will be targeted with rents not to exceed
120% AMI for 20-years. The remaining 50% of
units should have rent limited to 120% AMI
but could increase in response to increasing
expenditures
Grand-
view 2
Avidor Apartments
(5220 Eden Ave) 147 18 11% affordable at 60% of AMI. Project was
privately funded with no TIF.
Proposed Apartments (5100
Eden Ave)
136
Pending
14
Pending
10% of the units will be priced at 50% of AMI.
The project is anticipated to be privately
funded with no TIF. The developer has not
given information about the construction
schedule
Future Housing (5146 Eden
Ave) TBD TBD
The senior co-operative project has been
cancelled due to lack of funding. A
replacement project will be pursued for this
site.
66 West 66 West Apartments
(3330 W. 66th St) 0 39 100% of units are affordable.
50th &
France 2
Nolan Mains Apartments
(3945 Market St) 90 10 15-year term
44th &
France 2
Lorient Apartments
(3901 Sunnyside Rd) 44 3 20-year term.
70th &
France
Unnamed Apartments
(7001-7025 France)
270
Pending 0 A buy-in contribution is expected in lieu of
providing affordable units in the building.
72nd &
France 2
Unnamed Apartments
(7200 France) TBD TBD A hotel or apartment is anticipated for the
7200 parcel.
2023 Edina HRA – Year in Review Page 21
TIF
District Project Name & Address
No.
Market
Units
No.
Affordable
Units
Notes
West 76th
St
The Sound on 76th Apartments
(4100 W. 76th St) 0 70
100% of units are affordable for 40-years or
more.
Amund-
son
Amundson Flats
(7075 Amundson Ave) 0 62 100% affordable for 40-years or more.
4040 W.
70th Street
Forty Forty Flats Senior
Apartments (4040 W. 70th St) 0 118
100% affordable for 99-years. Construction
commenced in 2022; completed in2023.
Eden
Wilson
Maison Green Apartments
(4917 Eden Ave.)
176
Pending
20
Pending
Priced at 50% AMI households; 21-year term;
Completion anticipated 2023-2024
REDEVELOPMENT PROJECTS – YEAR END STATUS
1) 4500 France Avenue – The Lorient Apartments
The HRA entered into a Redevelopment Agreement in 2018 and issued a $2.295 million TIF Note after
the $30.5 million redevelopment project was completed. The HRA determined that the “but for” the use
of TIF, this project would not be built.
The new four-story building named The Lorient Apartments includes 45 apartments (of which three are
affordable to households with incomes at or below 60 percent of AMI) with approximately 7,000 square
feet of commercial space on the first floor. The project also delivered several infrastructure
improvements in the commercial node: public plaza, public parking, public art, removal of overhead power
lines and new public sidewalks with streetscape improvements.
The commercial space is fully leased and residential space has 95+ % occupancy. The TIF Certificate of
Completion was delivered in Spring 2021. Payments toward the TIF Note began in 2021.
2) 3940 Market Street – North Ramp
This HRA led project was completed in Fall 2018 at a total estimated cost of $12 million. Real estate
proceeds and monies from the Centennial Lakes TIF fund were used to fund the capital investment. The
final project includes 546 public parking stalls as well as 10,000 square feet of commercial space. The
commercial space was sold to the developer in 2019 and are fully occupied in 2023.
3) 3945 Market Street – Nolan Mains / Center Ramp
This HRA-owned property was sold to a private developer in 2018 for construction of 100 rental
apartments, 27,000 square feet of commercial space and reconstruction of the new Center Parking Ramp
at a total cost of $74 million. Named Nolan Mains, the building is configured around a series of public
walkways and plazas to create a vibrant pedestrian experience that engages the adjacent commercial
properties. The project also includes shared trash rooms for use by adjacent businesses and extensive
utility improvements that benefit surrounding commercial properties.
2023 Edina HRA – Year in Review Page 22
The TIF Certificate of Completion was issued in 2020. The HRA issued a $10.1 million TIF Note upon
completion. Payments toward the TIF Note began in 2021. With the support of the Edina Housing
Foundation, the HRA also provided a low-interest loan to support 10 affordable rental units in the facility
for a period of at least 15 years.
The commercial spaces and residential units were stabilized and fully occupied in 2022. Beginning in 2022,
a seasonal series of business and community events were held in the public plaza.
4) 5146 Eden Avenue – former Public Works site
This long vacant site experienced a setback in late 2023. United Properties was under contract to
purchase the southern portion of the property for construction of about 90 units of senior cooperative
housing. Unfortunately, the developer was unable to achieve the pre-sale requirements to qualify for
HUD financing and decided to terminate the Purchase Agreement. As a result of this decision, they
relinquished half of their earnest money.
The site had previously secured preliminary rezoning approvals for a three-phase redevelopment project
including multi-family housing, restaurant and public green space.
Jester Concepts still desires to build a new restaurant with indoor and outdoor dining in the central
portion of the site but their contract will need to be modified to reflect necessary changes to the housing
element.
In 2024, City staff intends to find a new developer to deliver the multi-family housing element that will
anchor a portion of the site. Presuming that the planning and financing processes go smoothly, ground
breaking is anticipated in 2025.
5) Southdale Center Mall
Major renovations and improvements to the Southdale Center Mall were the impetus for the Southdale 2
TIF District that was established in 2011. After several major improvements and additions were made to
the property, that TIF District was de-certified in 2021.
With positive momentum continuing, the mall owner began work on two major improvements in 2023.
The former Herberger site (originally Donaldson’s) had been vacant since the department store closed in
2018. Simon Properties. Reconfigured that large building to accommodate a new Kowalski’s grocery store
on the main level and a new PuttShack restaurant with mini-golf on the upper level. Both tenants are
under construction and plan to open in 2024.
The owner also began a reconfiguration of several outward-facing tenant spaces to better accommodate a
slate of new luxury retail tenants. That work continues and up to 20 new tenants are anticipated to open
in 2024 and 2025.
While Lifetime expressed interest in adding a highly amenitized luxury residential building next to the
Athletic Club, the escalating construction and financing costs delayed further work in 2023. The developer
remains interested but is not expected to proceed until the economic outlook is brighter. The developer
also remains in touch with Metro Transit since the Southdale Transit Center would need to be
relocated to the north side of the mall property prior to construction of a new residential building.
2023 Edina HRA – Year in Review Page 23
6) 7001 France Avenue
Orion Investment and Mortenson Development secured entitlements to redevelop the 5.7-acre site with
a mixture of commercial and residential uses, including a modern branch facility for US Bank. The HRA
determined that the “but for” the use of TIF, this project would not be built.
Due to the increasing construction costs and extensive public realm improvements, the HRA agreed to
reimburse the developer for eligible expenses of the office and residential phases using incremental
property taxes generated by completed phases of the project. A 15-year TIF District was created and TIF
Redevelopment Agreements were executed for the office and residential phases in 2022.
Construction of the new US Bank branch began in 2022 and opened for business in Spring 2023.
The developer removed the last building from the site in summer 2023 and continues to pursue full
financing to begin the office and residential buildings which are tentatively called 70th & France. The rapidly
escalating interest rates and stagnation in the capital markets delayed the groundbreaking that was
originally scheduled for Summer 2023.
The City, HRA and developer amended the TIF Agreements to allow two additional years to begin the
office and residential phases. With the unpredictable changes in the capital markets, other amendments to
the TIF Agreements might be necessary in the future.
7) 7200 - 7250 France Avenue
In 2019, the City & HRA established the 72nd & France Housing TIF District and entered into a
Redevelopment Agreement with the developer (DJR) to support a mixed-use multi-phase development
with both affordable and market rate housing. The original development group was unable to secure
private financing, allowed the Redevelopment Agreement to lapse and sold the property to new owners.
During the pandemic years, the buildings became heavily vandalized and the 7250 building was declared
unsafe to occupy due to significant structural deficiencies. The original TIF District was de-certified in
2023.
In 2022, the HRA recognized the blighted condition of the two vacant office buildings. Late in the year,
the new owners demolished the vacant buildings and cleaned up the site.
The new development group led by Edina-based Orion Investment secured preliminary rezoning for the
property including a new office building on the 7250 site and either a residential or hotel building on the
7200 site. The HRA determined that the “but for” the use of TIF, this project would not be built. Due to
the high cost of the public realm improvements on the site, the HRA agreed to reimburse the developer
for eligible expenses using incremental property taxes generated by the new building.
In 2023, the original Housing TIF District was de-certified and replaced with a Redevelopment TIF
District. A TIF Redevelopment Agreement was executed for the new site work and new office building.
The developer secured a lead tenant and has been pursuing private financing for the project which is
tentatively called The Craftsman Offices. Unfortunately, the rapidly escalating interest rates and stagnation
in the capital markets delayed the groundbreaking that was originally scheduled for Summer 2023. The
developer has requested a 12-month extension of the ground-breaking in accordance with the terms of
the Redevelopment Agreement.
2023 Edina HRA – Year in Review Page 24
The developer continues to explore either an apartment building or a hotel for the 7200 site. An updated
proposal for the 7200 site is anticipated in 2024. With the unpredictable changes in the capital markets,
other amendments to the TIF Agreements might be necessary in the future.
8) 7235 France Avenue
In 2023, Enclave Development began to explore redevelopment of the Macy’s Furniture site. The
property owner is willing to sell the property with the intention of relocating the furniture store and
selling the property for redevelopment. Due to the high cost of public realm improvements
recommended in the Greater Southdale Plan, the developer indicated that they will likely require the use
of TIF to make full scale redevelopment feasible.
At year end, the developer continues to explore redevelopment options that should be viable in the
current economic environment. If financial markets re-activate, the developer is likely to make a formal
zoning request and TIF request in 2024 or 2025.
9) France Avenue Pedestrian Crossing
With two parcels likely to be redeveloped in the same period, City staff explored options to extend the
Promenade trail system to connect neighborhoods on the west side of France Avenue via a non-
motorized bicyclist/pedestrian trail that passes below or above France Avenue. A below-grade layout is
the preferred option although an overhead design will be considered if the preferred design is determined
to be unfeasible.
In 2023, City staff worked with the designers and developers of the 7200/7250 and 7235 sites to explore
how this new public infrastructure improvement could be incorporated into the privately-owned sites.
Several funding sources will likely be necessary to fund a public improvement of this nature. Tax
increment financing would likely be one of the funding sources to consider. Other funding sources will be
identified and pursued. This project will continue to be explored in 2024. Additional HRA and City
Council approvals are required before additional funds are spent on this project.
10) Forty-Forty Flats Senior Apartments - 4040 West 70th Street
The Edina Housing Foundation acquired this site and selected Lupe Development Partners and Ecumen
through a competitive RFQ process to build affordable senior housing. The HRA determined that the
“but for” the use of TIF, this project would not be built. The HRA provided a $3.65M forgivable loan
provided that the site is used for affordable housing for 99-years. The HRA also provided TIF Note and
gap financing for this project.
Named Forty-Forty Flats, construction began in 2022 and the project was completed in 2023. A TIF Note
is anticipated to be awarded after confirmation of achievement of project goals and criteria.
2023 Edina HRA – Year in Review Page 25
11) 4100 West 76th Street – The Sound on 76
The HRA acquired the vacant property in August 2019 and sold it to Aeon in 2021. The HRA determined
that the “but for” the use of TIF, this affordable housing project would not be built. The HRA also
executed a TIF Redevelopment Agreement and gap financing loan to support the construction of new
affordable housing on the site. The Sound on 76th Apartments were completed in Spring 2022 and is fully
leased. A TIF Note was issued in 2023. Payments on the TIF Note will begin in 2024.
12) Pentagon Village - W. 77th St. and Computer Ave. (aka Pentagon South)
The HRA executed a Redevelopment Agreement with the developer to support complete redevelopment of
the 12-acre property. The infrastructure (roadways, structured parking and plaza) and retail buildings were
completed in 2019 and three TIF notes were issued with a total principal amount of $18.1 million. Interest
began to accrue on the first Note in 2020. The first payments on the TIF Notes were made in 2022.
The pair of retail buildings were fully leased in 2023 and the final two restaurant tenants are anticipated to
open in Spring 2024.
Construction on the Eddi Apartments on Lot 3 (SE corner) began in 2022 and the project was
substantially completed in 2023. This project includes 200 rental apartments, 10% of which are priced to
households earning 50% AMI. This project is also unique because it incorporated a modular construction
process which had the majority of the building constructed off-site and shipped to the property to be
assembled and finished.
The dual brand hotel expected for Lot 2 experienced a setback in late 2023. For a variety of reasons, the
project pro forma experienced a gap of approximately $2 million. Although the HRA was willing to
provide a $2 million interest-bearing loan to achieve full funding, the private lender was not willing to
support a project that had a higher level of debt. The project then encountered an additional problem
when the general contractor and owner sued each other over a contract dispute. These situations wil
delay construction of the dual-branded hotel at least one year.
Lot 4 saw significant progress in 2023. Construction of a new regional bank headquarters for First Bank &
Trust was approved for Lot 4 (NE corner). Construction began in 2023 and the new facility is anticipated
to be completed in 2024.
The developer continues to pursue users for Lot 5. This was originally intended to be a two-phase Class
A office building. Based on the disruption in the office market, the developer is likely to explore other
uses for the vacant site to expedite the redevelopment of the site.
13) The Fred Apartments - 4660 W. 77th St (aka Pentagon North)
Construction of the new apartments at 4660 W. 77th Street was completed in 2023. The project, named
The Fred was delivered and leased in three phases. This project redeveloped the site by removing two
vacant office buildings and constructing 408 units of market-rate apartments.
While this property is located within the Pentagon Park TIF District, this project was privately financed
with no HRA participation.
2023 Edina HRA – Year in Review Page 26
14) The Finch Apartments - 4620 W. 77th St (aka Pentagon North)
In late 2023, Solhem Companies broke ground on a new 276-unit apartment building called The Finch. 50
percent of the apartments are income restricted at either 50% or 120% AMI. The remaining units will
begin at 120% AMI but may increase if necessitated by increased expenses. Commercial spaces are
located on portions of the street level.
The site plan includes several connections from W. 77th Street to the adjacent Fred Richards Park,
including a new roadway that provides direct access to the Fred Richards Park as well as the adjacent
residential and office properties on W. 77th Street.
This project is located in the Pentagon Park TIF District. The HRA agreed to reimburse the developer up
to $9.35 million in eligible expenses to make this $85 million mixed-use project feasible. Reimbursement
will come from the new incremental property taxes paid by the Fred and the Finch Apartments as well as
the SPARC Program.
15) Maison Green Apartments – 4917 Eden Ave.
The HRA entered into a TIF Redevelopment Agreement with Reuter Walton to assist redevelopment of a
commercial building and to deliver improvements to the surrounding roadways. The HRA determined
that the “but for” the use of TIF, this project would not be built.
After the $85 million dollar project is completed, the HRA intends to issue a $5.1 million TIF Note that is
payable over 15 years from a portion of the incremental taxes generated by the completed project. The
additional incremental taxes are intended to fund public improvements to Eden Ave, Grange Road,
Willson/Grange/Eden intersection and W. 50th Street. The first phase of road improvements is complete
with additional work scheduled in 2024 and 2025.
This project broke ground in 2022 and construction is nearly complete. The building includes primarily
market-rate units and also includes 20 units priced at rates affordable to households earning 50% of AMI.
Pre-leasing began in late 2023 and the first round of tenant move-ins are scheduled for February 2024.
More information about the project is found here: https://www.maisongreen.com/
The interior build-out for the restaurant tenant is also in progress. The new restaurant is scheduled to
open in late Spring 2024.
2023 Edina HRA – Year in Review Page 27
OTHER HRA-RELATED ACTIVITIES
16) Special Projects and Redevelopment Capital (SPARC) Fund
In 2021, a new economic development program was created to attract new private investment, renew
underperforming properties and create jobs in Edina. This program is funded from $9.3 million of
incremental property taxes that were previously collected in the Southdale 2, Pentagon Park and 70th &
Cahill TIF Districts. No additional tax levy is required to fund this program. Staff will oversee the
administration of this program.
In accordance with Minnesota statute, these funds can be used to support new private investment that
creates permanent or temporary jobs during the construction of a new building or renovation of an
existing building. All funds are intended to be allocated or invested no later than December 31, 2025.
Three projects were funded with SPARC in 2022 and additional projects were pursued in 2023. Staff
anticipate rolling out a new program in 2024 to invest the remainder of these funds to satisfy the deadline.
• $2 million was awarded to The Finch Apartments to reimburse the developer for the costs
incurred to construct a new public road.
• $2 million was agreed to be loaned to support the construction of a new hotel. Unfortunately,
that problem has run into additional problems and the SPARC funds are unlikely to be used for
this project.
• $225,000 was pledged to reimburse the developer for the costs of updating a vacant commercial
space at 3916 W. 50th Street and making it handicapped accessible so that the space can be leased
and operated. Those funds are anticipated to be awarded in 2024.
17) Edina Small Business TAP
The Small Business Technical Assistance Program (Edina TAP) was created in 2022 and concluded in 2023.
A total of $200,000 was pledged from ARPA funds to provide support for small businesses that continue
on the road to recovery. Digital marketing services are provided directly to eligible businesses by two
private companies – Creative Arcade and Davison Consulting Group. The program is complete and no
additional funding is anticipated for this program at this time.
18) Elevate Hennepin Business Advising Program
The HRA partners with Hennepin County to provide free business consulting services for start-up
businesses or expanding businesses located within Edina. Branded as “Elevate Hennepin”, these services
are also provided to Edina residents regardless of where the business may eventually be located. The
$10,000 annual contribution from the HRA supplements funding provided from Hennepin County.
19) Emergency Rental Assistance Program
The HRA created an Emergency Rental Assistance Program in 2020 to protect residents faced with job
loss or other hardship due to the COVID-19 pandemic. This program was continued in 2022 and 2023
using ARPA funds. This program is administered by VEAP.
2023 Edina HRA – Year in Review Page 28
20) Come Home to Edina Second Mortgage Program
The Come Home 2 Edina program is sponsored and managed by the Edina Housing Foundation. In 2023,
this program provided loans to 9 homeowners. The pace of the program slowed in 2023 compared to 16
loans issued in 2022.
21) NOAH 4d Preservation Program
This program was created to incentivize owners of existing naturally occurring affordable rental housing
(NOAH) to preserve the affordability of the units. Owners are offered a reduced property tax
classification (4d) if they partner with Edina’s Energy Efficiency Program to make improvements to the
property intended to save energy and reduce operating costs. To date, three property owners have
participated in this program preserving the affordability of 29 housing units.
22) Home Rehabilitation Program
This program was established to provide loans up to $30,000 to provide essential improvements to a
home that is owner-occupied by a household of limited income. Repayment is deferred until the owner
sells the property but no longer than 30 years. In 2023, nine new properties were approved to participate
in this program. Edina partners with Center for Energy and Environment to administer this program.
23) Housing Improvement Area (HIA) Program
Although not funded by the HRA, the City established Edina’s first Housing Improvement Area (HIA) to
support the renovation of the Edina West Condominiums located at 6075 to 6115 Lincoln Drive. It was
determined that this 1970s era complex required many capital improvements. It was also determined that
the condominium Association was unable to secure private funding. The City will serve as a funding
conduit with the principal and interest being repaid by each of the condominium owners.
24) First Generation Mortgage Program
In 2021, the Edina Housing Foundation launched a new program to assist households who have not
benefitted from growing up in owner occupied homes. Funded with monies from the Affordable Housing
Trust Fund and the Edina Housing Foundation, the First Generation homebuying program provides an
additional $20,000 in a forgivable loan to first generation homebuyers. This program served an additional
three borrowers in 2023 for a total of nine borrowers since inception.
25) Affordable Home Ownership Preservation Program
In 2023, two programs that focused on the preservation of owner-occupied single family homes were
merged under the umbrella of this new program. The HRA partners with experienced and capable
housing providers to administer this program.
a. Community Land Trust program with West Hennepin Affordable Housing Land Trust (WHAHLT)
2023 Edina HRA – Year in Review Page 29
The HRA previously approved a $3.3 Million line of credit with the West Hennepin Affordable
Housing Land Trust (WHAHLT) to support the Homes within Reach program. With these funds,
WHAHLT acquired 13 houses in Edina, 13 of which have been sold to income eligible
homebuyers. Each property is held in a land trust with a 99-year lease issued to the homeowner.
The sale of the 13th property is in process. In total, WHAHLT has 27 Land Trust properties in
Edina.
b. Twin Cities Habitat for Humanity – TCHFH
The HRA partnered with Twin Cities Habitat for Humanity to expand the Affordable Ownership
Preservation Program. In 2023, TCHFH acquired two houses and executed a purchase agreement
to acquire a third property. The Metropolitan Council awarded $750,000 for an expansion of this
program in Edina.
26) Affordable Single- Family Homes – Metropolitan Council HRA
In 2021 the HRA entered into a forgivable loan agreement with Metropolitan Council’s HRA for $2
Million to acquire, rehabilitate and place single-family houses into Met. Council’s Family Affordable
Housing program. Through this program, Metro HRA acquired and rehabilitated four homes and leased
them to income qualified families in Edina. At year end, all available funds have been invested.
Prepared February 6, 2024
2023 Edina HRA – Year in Review Page 30
Exhibit A – Map of Active TIF Districts
2023 Edina HRA – Year in Review Page 31
Exhibit B – Use of TIF in Edina
2023 Edina HRA – Year in Review Page 32
Exhibit C – Map of Affordable Housing Locations
Edina Housing & Redevelopment Authority
2023 Year in Review Summary
Presented by Bill Neuendorf
February 15, 2024
Staff Presentation Page 1
The pace and volume of
large-scale multi-family
and large commercial
construction slowed in
2023.
Tenant remodeling & expansion are
NOT shown on this map.
Large-scale Construction Activity in 2023
Staff Presentation Page 2
HRA Activity in 2023
Construction Complete –
Private development with public
benefits such as:
•affordable housing units
•public parking
•public infrastructure
•public plaza & public art
TIF Notes issued and payable to:
•Nolan Mains
•Lorient
•Sound on 76th
Completed Projects for 2023
•Forty -Forty Flats
•Sound on 76th
Sound on 76th
Apartments
Lorient
Apartments
& Parking
Nolan Mains
Apartments
& Center Parking
Amundson Flats
Apartments
66 West
Apartments
Forty-Forty Flats
Senior Apartments
Staff Presentation Page 3
HRA Activity in 2023
Construction &
Redevelopment In Progress
–Private development (or City-led
construction) with public benefits such as:
•job creation
•affordable housing
•public parking
•public infrastructure
•public plaza & public art
TIF Notes issued and partially payable to:
•Pentagon Village
70th & France
Mixed Use
Pentagon Village
Maison Green
Apartments &
Public
Infrastructure
Grandview Public
Infrastructure
72th & France
Mixed Use
Staff Presentation Page 4
HRA Activity in 2023
SPARC funds for Job
Creation and Small
Business – Private and public
investment that creates jobs and
delivers public benefits
•Forgivable Loans
•Construction Loans
Edina
Theater -
COMPLETE
Music /
Restaurant
Venue -
PENDING
Edina
Innovation Lab -
COMPLETE
Staff Presentation Page 5
Completed 2023
New Affordable Senior Apartments (55+)
Staff Presentation Page 6
Completed 2023
New US Bank at 70th & France
www.google.com/maps
Future
B
Future
C
Future
A
Relocated US Bank
Although located in TIF District, this bank was privately funded with no TIF.
Paid 2023
(unfinished)
Estimated
2024
(unfinished)
Estimated Value $1.37 M $4.30 M
School District $8,068 $24,629
County $6,382 $20,038
City $5,012 $15,926
Other Agencies $1,219 $3,758
State & Fisc. Dis.$21,632 $60,825
Increment $0 $0
Staff Presentation Page 7
Progress at Pentagon Park
Site – infrastructure completed 2020
Lot 1 – fully leased
Lot 3 – completed
Lot 4 – under construction Staff Presentation Page 8
Completed 2023
New Market Rate & Affordable Apartments
Although located in TIF District, this project was privately funded with no TIF.
Paid 2023
(unfinished)
Estimated
2024
(unfinished)
Estimated Value $5.9 M $15.6 M
School District $26,902 $57,983
County $17,581 $32,862
City $13,805 $26,119
Other Agencies $3,360 $6,164
Increment $85,874 $225,264
The EDDI Apartments
4911 W. 77th Street
Staff Presentation Page 9
Completed 2023
New Market Rate Apartments 4940-60 W. 77th St
Although located in TIF District, this project was privately funded with no TIF.
Paid 2023
(unfinished)
Estimated
2024
(unfinished)
Estimated Value $4.6 M $38.7 M
School District $21,385 $143,478
County $13,975 $81,359
City $10,974 $64,663
Other Agencies $2,671 $15,260
Increment $19,259 $252,938
Staff Presentation Page 10
Completed 2023
Edina Innovation Lab -7201 Metro Blvd
HRA issued $610,000 construction loan to
supplement private investment by non-profit
Chamber of Commerce; First loan payment
received January 2024
Staff Presentation Page 11
Completed 2020
Nolan Mains & Center Parking Garage
Pre -Development
•Tax Exempt for 40+ years
•No taxes paid for decades
After Development
•$78.5 M private investment
•$10.1 M Pay Go TIF Note issued
•17 new businesses
•50+ events annually
•Public parking & infrastructure
•Site is now taxable (pay ‘23)
•$158,000 Edina Schools
•$106,000 Fiscal Disparity
•$74k State
•$39k City / 50 Fr Maintenance
•$25k County
•$20k City
Staff Presentation Page 12
Tax Increment Financing in Edina
Staff Presentation Page 13
Other HRA Programs and 2024 Pipeline
Manage existing initiatives
Looking Ahead to 2024
•Completion of Maison Green Apartments
•Road improvements near 50th & Grange
•Modifications to 5146 Eden Site Plan and
development partners
•Small business support with SPARC
•Affordable housing programs TBD
•Completion of First Trust Bank
•Progress on Pentagon Village Lots 2 & 5
•Substantial completion of The Finch Apartments
•Progress on 70th & France mixed use
•Progress on 72nd & France mixed use
Support for Small Businesses
Affordable Housing Programs
Seek new opportunities
Staff Presentation Page 14
Thank You
Staff is available
for questions
Staff Presentation Page 15